E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 112 CONGRESS, SECOND SESSION

Vol. 158 WASHINGTON, TUESDAY, JUNE 12, 2012 No. 88 House of Representatives The House met at 10 a.m. and was THE JOURNAL 6401. A letter from the Assistant Secretary, Legislative Affairs, Department of State, called to order by the Speaker pro tem- The SPEAKER pro tempore. The pore (Mr. THORNBERRY). transmitting Transmittal No. DDTC 09-087, Chair has examined the Journal of the pursuant to the reporting requirements of f last day’s proceedings and announces Section 36(c) and 36(d) of the Arms Export to the House his approval thereof. Control Act; to the Committee on Foreign DESIGNATION OF THE SPEAKER Pursuant to clause 1, rule I, the Jour- Affairs. PRO TEMPORE nal stands approved. 6402. A letter from the Assistant Secretary, Legislative Affairs, Department of State, The SPEAKER pro tempore laid be- f fore the House the following commu- transmitting Transmittal No. DDTC 12-004, nication from the Speaker: PLEDGE OF ALLEGIANCE pursuant to the reporting requirements of The SPEAKER pro tempore. The Section 36(c) and 36(d) of the Arms Export WASHINGTON, DC. Control Act; to the Committee on Foreign June 12, 2012. Chair will lead the House in the Pledge Affairs. I hereby appoint the Honorable MAC of Allegiance. 6403. A letter from the Assistant Secretary, THORNBERRY to act as Speaker pro tempore The SPEAKER pro tempore led the Legislative Affairs, Department of State, on this day. Pledge of Allegiance as follows: transmitting Transmittal No. DDTC 12-053, JOHN A. BOEHNER, I pledge allegiance to the Flag of the pursuant to the reporting requirements of Speaker of the House of Representatives. United States of America, and to the Repub- Section 36(c) and 36(d) of the Arms Export f lic for which it stands, one nation under God, Control Act; to the Committee on Foreign indivisible, with liberty and justice for all. Affairs. PRAYER 6404. A letter from the Assistant Secretary, f Reverend Dr. Alan Keiran, Office of Legislative Affairs, Department of State, the United States Senate Chaplain, of- SENATE ENROLLED BILL SIGNED transmitting Transmittal No. DDTC 12-005, The Speaker announced his signature pursuant to the reporting requirements of fered the following prayer: Section 36(d) of the Arms Export Control Lord God Almighty, in the midst of to an enrolled bill of the Senate of the Act; to the Committee on Foreign Affairs. challenging times, You give us wisdom following title: 6405. A letter from the Assistant Secretary, from Your word saying, ‘‘Be still, and S. 3261. An act to allow the Chief of the Legislative Affairs, Department of State, know that I am God. I will be honored Forest Service to award certain contracts for transmitting Transmittal No. DDTC 12-044, by every nation. I will be honored large air tankers. pursuant to the reporting requirements of throughout the world.’’ f Section 36(d) of the Arms Export Control Act; to the Committee on Foreign Affairs. Today, please give the Members of ADJOURNMENT this House and their staffs the resil- 6406. A letter from the Assistant Secretary, The SPEAKER pro tempore. Without Legislative Affairs, Department of State, ience to weather all controversy with transmitting Transmittal No. DDTC 12-015, grace and to do to others as they would objection, the House stands adjourned until 10 a.m. on Friday, June 15, 2012. pursuant to the reporting requirements of have done to them. May civility and Section 36(d) of the Arms Export Control mutual respect be the hallmarks of There was no objection. Act; to the Committee on Foreign Affairs. this and every future Congress, and Accordingly (at 10 o’clock and 5 min- 6407. A letter from the Assistant Secretary, may Your great name be lifted high in utes a.m.), under its previous order, the Legislative Affairs, Department of State, this Nation. House adjourned until Friday, June 15, transmitting Transmittal No. DDTC 12-018, Allow us all to give You honor 2012, at 10 a.m. pursuant to the reporting requirements of f Section 36(c) of the Arms Export Control through our service to America and its Act; to the Committee on Foreign Affairs. citizens. Commission us to do Your will EXECUTIVE COMMUNICATIONS, 6408. A letter from the Assistant Secretary, daily so that You will receive all ETC. Legislative Affairs, Department of State, honor, glory, and praise. transmitting Transmittal No. DDTC 12-019, Under clause 2 of rule XIV, executive Lord, please bless all deployed mili- pursuant to the reporting requirements of communications were taken from the tary members and their families with Section 36(c) of the Arms Export Control Speaker’s table and referred as follows: Your abiding presence. Surround our Act; to the Committee on Foreign Affairs. military members in harm’s way with 6400. A letter from the Assistant Secretary, 6409. A letter from the Assistant Secretary, Legislative Affairs, Deaprtment of State, Legislative Affairs, Department of State, Your great favor. We ask this in the transmitting Transmittal No. DDTC 11-100, transmitting Transmittal No. DDTC 11-143, name of the one who was, who is, and pursuant to the reporting requirements of pursuant to the reporting requirements of who is coming again. Section 36(c) of the Arms Export Control Section 36(c) of the Arms Export Control Amen. Act; to the Committee on Foreign Affairs. Act; to the Committee on Foreign Affairs.

b This symbol represents the time of day during the House proceedings, e.g., b 1407 is 2:07 p.m. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

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A letter from the Assistant Secretary, Section 36(c) of the Arms Export Control 6434. A letter from the Senior Program An- Legislative Affairs, Department of State, Act; to the Committee on Foreign Affairs. alyst, Department of Transportation, trans- transmitting Transmittal No. DDTC 12-033, 6426. A letter from the Assistant Secretary, mitting the Department’s final rule — pursuant to the reporting requirements of Legislative Affairs, Department of State, Standard Instrument Approach Procedures, Section 36(c) of the Arms Export Control transmitting Transmittal No. DDTC 12-032, and Takeoff Minimums and Obstacle Depar- Act; to the Committee on Foreign Affairs. pursuant to the reporting requirements of ture Procedures; Miscellaneous Amendments 6412. A letter from the Assistant Secretary, Section 36(c) of the Arms Export Control [Docket No.: 30835; Amdt. No. 3472] received Legislative Affairs, Department of State, Act; to the Committee on Foreign Affairs. May 15, 2012, pursuant to 5 U.S.C. transmitting Transmittal No. DDTC 12-010, 6427. A letter from the Acting Director, Of- 801(a)(1)(A); to the Committee on Transpor- pursuant to the reporting requirements of fice of Sustainable Fisheries, NMFS, Na- tation and Infrastructure. Section 36(c) of the Arms Export Control tional Oceanic and Atmospheric Administra- 6435. A letter from the Regulatory Ombuds- Act; to the Committee on Foreign Affairs. tion, transmitting the Administration’s final man, Department of Transportation, trans- 6413. A letter from the Assistant Secretary, rule — Fisheries Off West Coast States; mitting the Department’s final rule — Legislative Affairs, Department of State, Modifications of the West Coast Commercial Transportation of Household Goods in Inter- transmitting Transmittal No. DDTC 12-006, and Recreational Salmon Fisheries; Inseason state Commerce; Consumer Protection Regu- pursuant to the reporting requirements of Actions #1, #2, and #3 [Docket No.: 100223162- lations: Released Rates of Motor Carriers of Section 36(c) of the Arms Export Control 1268-01] (RIN: 0648-XB120) received May 14, Household Goods [Docket No.: FMCSA-2012- Act; to the Committee on Foreign Affairs. 2012 received May 14, 2012, pursuant to 5 0101] (RIN: 2126-AB51) received May 15, 2012, 6414. A letter from the Assistant Secretary, U.S.C. 801(a)(1)(A); to the Committee on Nat- pursuant to 5 U.S.C. 801(a)(1)(A); to the Com- Legislative Affairs, Department of State, ural Resources. mittee on Transportation and Infrastruc- transmitting Transmittal No. DDTC 12-009, 6428. A letter from the Acting Director, Of- ture. pursuant to the reporting requirements of fice of Sustainable Fisheries, NMFS, Na- 6436. A letter from the Trial Attorney, De- Section 36(c) of the Arms Export Control tional Oceanic and Atmospheric Administra- partment of Transportation, transmitting Act; to the Committee on Foreign Affairs. tion, transmitting the Administration’s final the Department’s final rule — Positive Train 6415. A letter from the Assistant Secretary, rule — Fisheries of the Northeastern United Control Systems (RRR) [Docket No.: FRA- Legislative Affairs, Department of State, States; Atlantic Mackerel, Squid, and 2011-0028, Notice No. 3] (RIN: 2130-AC27) re- transmitting Transmittal No. DDTC 12-022, Butterfish Fisheries; Closure of the Tri- ceived May 15, 2012, pursuant to 5 U.S.C. pursuant to the reporting requirements of mester 1 Longfin Squid Fishery [Docket No.: 801(a)(1)(A); to the Committee on Transpor- Section 36(c) of the Arms Export Control 110707371-2136-02] (RIN: 0648-XB145) received tation and Infrastructure. Act; to the Committee on Foreign Affairs. May 14, 2012, pursuant to 5 U.S.C. f 6416. A letter from the Assistant Secretary, 801(a)(1)(A); to the Committee on Natural REPORTS OF COMMITTEES ON Legislative Affairs, Department of State, Resources. transmitting Transmittal No. DDTC 12-029, 6429. A letter from the Acting Director, Of- PUBLIC BILLS AND RESOLUTIONS pursuant to the reporting requirements of fice of Sustainable Fisheries, NMFS, Na- Under clause 2 of rule XIII, reports of Section 36(c) of the Arms Export Control tional Oceanic and Atmospheric Administra- committees were delivered to the Clerk Act; to the Committee on Foreign Affairs. tion, transmitting the Administration’s final for printing and reference to the proper 6417. A letter from the Assistant Secretary, rule — Fisheries of the Exclusive Economic calendar, as follows: Legislative Affairs, Department of State, Zone Off Alaska; Pacific Cod by Catcher/ Mr. KING of New York: Committee on transmitting Transmittal No. DDTC 12-028, processors Using Trawl Gear in the Central Homeland Security. H.R. 4251. A bill to au- pursuant to the reporting requirements of Regulatory Area of the Gulf of Alaska thorize, enhance, and reform certain port se- Section 36(c) of the Arms Export Control [Docket No.: 111207737-2141-02] (RIN: 0648- curity programs through increased efficiency Act; to the Committee on Foreign Affairs. XB174) received May 14, 2012, pursuant to 5 and risk-based coordination within the De- 6418. A letter from the Assistant Secretary, U.S.C. 801(a)(1)(A); to the Committee on Nat- partment of Homeland Security, and for Legislative Affairs, Department of State, ural Resources. other purposes; with an amendment (Rept. transmitting Transmittal No. DDTC 11-075, 6430. A letter from the Acting Deputy As- 112–521). Referred to the Committee of the pursuant to the reporting requirements of sistant Administrator for Regulatory Pro- grams, NMFS, National Oceanic and Atmos- Whole House on the state of the Union. Section 36(c) of the Arms Export Control Mr. KING of New York: Committee on pheric Administration, transmitting the Ad- Act; to the Committee on Foreign Affairs. Homeland Security. Third Semiannual Re- ministration’s final rule — Fisheries of the 6419. A letter from the Assistant Secretary, port on Legislative and Oversight Activities Northeastern United States; Summer Floun- Legislative Affairs, Department of State, of the Committee on Homeland Security transmitting Transmittal No. DDTC 12-014, der, Scup, and Black Sea Bass Fisheries; (Rept. 112–552). Referred to the Committee of pursuant to the reporting requirements of Final 2012 Summer Flounder, Scup, and the Whole House on the state of the Union. Section 36(c) of the Arms Export Control Black Sea Bass Specificatons [Docket No.: Act; to the Committee on Foreign Affairs. 120412408-2408-01] (RIN: 0648-XA795) received f 6420. A letter from the Assistant Secretary, May 14, 2012, pursuant to 5 U.S.C. PUBLIC BILLS AND RESOLUTIONS Legislative Affairs, Department of State, 801(a)(1)(A); to the Committee on Natural transmitting Transmittal No. DDTC 12-025, Resources. Under clause 2 of rule XII, public pursuant to the reporting requirements of 6431. A letter from the Acting Deputy As- bills and resolutions of the following Section 36(c) of the Arms Export Control sistant Administrator for Regulatory Pro- titles were introduced and severally re- Act; to the Committee on Foreign Affairs. grams, NMFS, National Oceanic and Atmos- ferred, as follows: 6421. A letter from the Assistant Secretary, pheric Administration, transmitting the Ad- By Mr. MARKEY (for himself, Ms. Legislative Affairs, Department of State, ministration’s final rule — Fisheries of the TSONGAS, and Mr. ANDREWS): transmitting Transmittal No. DDTC 11-024, Northeastern United States; 2012-2013 North- H.R. 5946. A bill to direct the Undersecre- pursuant to the reporting requirements of east Skate Complex Fishery Specifications tary of Defense (Comptroller) to carry out a Section 36(c) of the Arms Export Control [Docket No.: 120208116-2416-03] (RIN: 0648- pilot program to develop innovative con- Act; to the Committee on Foreign Affairs. BB83) received May 14, 2012, pursuant to 5 sumer financial products that encourage sav- 6422. A letter from the Assistant Secretary, U.S.C. 801(a)(1)(A); to the Committee on Nat- ings and wealth-creation among active-duty Legislative Affairs, Department of State, ural Resources. servicemembers; to the Committee on Armed transmitting Transmittal No. DDTC 12-021, 6432. A letter from the Senior Program An- Services. pursuant to the reporting requirements of alyst, Department of Transportation, trans- By Ms. JACKSON LEE of Texas: Section 36(c) of the Arms Export Control mitting the Department’s final rule — H.R. 5947. A bill to encourage States to Act; to the Committee on Foreign Affairs. Standard Instrument Approach Procedures, prohibit ‘‘Stand Your Ground’’ laws and re- 6423. A letter from the Assistant Secretary, and Takeoff Minimums and Obstacle Depar- quire Neighborhood Watch programs to reg- Legislative Affairs, Department of State, ture Procedures; Miscellaneous Amendments ister with local law enforcement agencies transmitting Transmittal No. DDTC 12-042, [Docket No.: 30837; Amdt. No. 3474] received and the Department of Justice, and for other pursuant to the reporting requirements of May 15, 2012, pursuant to 5 U.S.C. purposes; to the Committee on the Judici- Section 36(c) of the Arms Export Control 801(a)(1)(A); to the Committee on Transpor- ary. Act; to the Committee on Foreign Affairs. tation and Infrastructure. By Mr. JOHNSON of Ohio: 6424. A letter from the Assistant Secretary, 6433. A letter from the Senior Program An- H.R. 5948. A bill to amend title 38, United Legislative Affairs, Department of State, alyst, Department of Transportation, trans- States Code, to improve the supervision of fi- transmitting Transmittal No. DDTC 12-062, mitting the Department’s final rule — duciaries of veterans under the laws adminis- pursuant to the reporting requirements of Standard Instrument Approach Procedures, tered by the Secretary of Veterans Affairs,

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and for other purposes; to the Committee on By Mr. JOHNSON of Ohio: H.R. 2978: Mr. SAM JOHNSON of Texas. Veterans’ Affairs. H.R. 5948. H.R. 3032: Mr. JOHNSON of Ohio. By Mr. SMITH of New Jersey: Congress has the power to enact this legis- H.R. 3059: Mr. MCHENRY. H. Res. 686. A resolution expressing the lation pursuant to the following: H.R. 3091: Mr. NUNES. sense of the House of Representatives that Article I, section 8 of the Constitution of H.R. 3307: Ms. CASTOR of Florida and Mr. the Republic of Argentina’s membership in the United States. QUIGLEY. the G20 should be conditioned on its adher- f H.R. 3510: Mr. COFFMAN of Colorado. ence to international norms of economic re- H.R. 3803: Mr. DENHAM, Mr. GRIMM, and Mr. lations and commitment to the rule of law; ADDITIONAL SPONSORS WOLF. to the Committee on Foreign Affairs. Under clause 7 of rule XII, sponsors H.R. 4155: Ms. HAYWORTH. f were added to public bills and resolu- H.R. 4367: Mr. MEEHAN and Mr. JOHNSON of CONSTITUTIONAL AUTHORITY tions as follows: Ohio. H.R. 4403: Mr. LATTA and Mr. WESTMORE- STATEMENT H.R. 178: Mr. COLE. LAND. H.R. 181: Mr. COLE. Pursuant to clause 7 of rule XII of H.R. 5303: Mr. JORDAN and Mr. FRANKS of the Rules of the House of Representa- H.R. 459: Mr. DESJARLAIS and Mr. LONG. Arizona. H.R. 687: Mr. COLE. tives, the following statements are sub- H.R. 5706: Mr. TONKO. H.R. 691: Mr. MICA. H.R. 5707: Mr. HEINRICH and Mr. FARR. mitted regarding the specific powers H.R. 694: Ms. WATERS. H.R. 5710: Mr. SESSIONS and Mr. LATHAM. granted to Congress in the Constitu- H.R. 860: Mr. ANDREWS and Ms. HAYWORTH. H.R. 5796: Mr. LUETKEMEYER. tion to enact the accompanying bill or H.R. 1063: Mr. SCHILLING and Mr. LUJA´ N. joint resolution. H.R. 1111: Mr. AKIN. H.R. 5914: Mr. PALAZZO. H.J. Res. 106: Mr. CALVERT. By Mr. MARKEY: H.R. 1259: Mr. CUELLAR. H.J. Res. 110: Mrs. HARTZLER, Mr. KELLY, H.R. 5946. H.R. 1325: Mr. GUINTA. Congress has the power to enact this legis- H.R. 1700: Mr. MACK. and Mrs. LUMMIS. lation pursuant to the following: H.R. 1792: Mr. STARK. H. Res. 623: Mr. SHULER. Article 1 Section 8. H.R. 2139: Mr. KINGSTON. H. Res. 663: Mr. MCGOVERN, Mr. MURPHY of By Ms. JACKSON LEE of Texas: H.R. 2236: Mr. THOMPSON of California and Connecticut, Mr. RIVERA, Mr. AUSTRIA, Mr. H.R. 5947. Mr. RANGEL. TURNER of New York, Mr. WEST, and Mr. Congress has the power to enact this legis- H.R. 2437: Mrs. MALONEY. HULTGREN. lation pursuant to the following: H.R. 2569: Mr. WESTMORELAND and Mr. H. Res. 669: Mr. WESTMORELAND. This bill is enacted pursuant to the power TERRY. H. Res. 672: Mr. STARK and Mr. ELLISON. granted to Congress under Article 1, Section H.R. 2637: Mr. GRIJALVA. H. Res. 683: Mr. DANIEL E. LUNGREN of Cali- 8, Clause 1 of the United States Constitution. H.R. 2655: Mr. PASTOR of Arizona. fornia, Mrs. BIGGERT, and Ms. BONAMICI.

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Vol. 158 WASHINGTON, TUESDAY, JUNE 12, 2012 No. 88 Senate The Senate met at 10 a.m. and was appoint the Honorable CHRISTOPHER A. The legislative clerk read as follows: called to order by the Honorable CHRIS- COONS, a Senator from the State of Dela- A bill (H.R. 436) to amend the Internal Rev- TOPHER A. COONS, a Senator from the ware, to perform the duties of the Chair. enue Code of 1986 to repeal the excise tax on State of Delaware. DANIEL K. INOUYE, medical devices. President pro tempore. Mr. REID. I now object to proceeding PRAYER Mr. COONS thereupon assumed the further on this matter at this time. chair as Acting President pro tempore. The Chaplain, Dr. Barry C. Black, of- The ACTING PRESIDENT pro tem- fered the following prayer: f pore. Objection having been heard, the Let us pray. RECOGNITION OF THE MAJORITY bill will be placed on the calendar. Eternal God, thank You for Your LEADER Mr. REID. I note the absence of a quorum. faithful love. You are the one who in- The ACTING PRESIDENT pro tem- The ACTING PRESIDENT pro tem- structs nations and shapes the des- pore. The majority leader is recog- pore. The clerk will call the roll. tinies of humankind. Help our law- nized. makers today to grow in grace and in The legislative clerk proceeded to f the knowledge of You. Equip them to call the roll. be servants of the people so that day by EXECUTIVE SESSION RECOGNITION OF THE MINORITY LEADER day our citizens may more clearly re- The ACTING PRESIDENT pro tem- flect Your image. Grant that our Sen- pore. The Republican leader is recog- NOMINATION OF ANDREW DAVID ators will shine as lights in this dark nized. HURWITZ TO BE UNITED STATES world to lead others to You. May they Mr. MCCONNELL. I ask unanimous CIRCUIT JUDGE FOR THE NINTH love expectantly, knowing that You consent that the order for the quorum CIRCUIT will provide serendipities, wonderful call be rescinded. surprises of Your goodness, to help Mr. REID. I now ask unanimous con- The ACTING PRESIDENT pro tem- them navigate through life’s inevitable sent that the Senate proceed to execu- pore. Without objection, it is so or- challenges. tive session. dered. We pray in Your merciful Name. The ACTING PRESIDENT pro tem- AMENDING THE FARM BILL Amen. pore. Without objection, it is so or- Mr. MCCONNELL. Mr. President, last dered. week the President said the private f SCHEDULE sector is ‘‘doing fine.’’ Well, the fact is PLEDGE OF ALLEGIANCE Mr. REID. The Senate is considering the private sector isn’t doing fine and the nomination of Andrew Hurwitz of the President’s comments make me The Honorable CHRISTOPHER A. COONS led the Pledge of Allegiance as follows: Arizona to be a United States circuit wonder what private sector he may be judge for the ninth circuit postcloture. talking about. I pledge allegiance to the Flag of the There is every expectation that time Since he took office, we have had 40 United States of America and to the Repub- lic for which it stands, one nation under God, will be yielded back and the confirma- straight months of unemployment of indivisible, with liberty and justice for all. tion will take place soon. over 8 percent and more than 23 million The Senate will recess from 12:30 to Americans are either unemployed, un- f 2:15 to allow for our weekly caucus deremployed, or have given up looking APPOINTMENT OF ACTING meetings. for a job altogether. Last month’s job PRESIDENT PRO TEMPORE Senator STABENOW and Senator ROB- report said the economy added only ERTS are working on an agreement for The PRESIDING OFFICER. The 69,000 jobs—far below what forecasters amendments on the farm bill and we clerk will please read a communication had predicted. That is the Obama econ- will notify Senators if an agreement is to the Senate from the President pro omy, and it is not doing fine. reached. With the debt the size of our GDP, tempore (Mr. INOUYE). The legislative clerk read the fol- MEASURE PLACED ON THE CALENDAR—H.R. 436 the President’s recent push for even lowing letter: Mr. REID. Mr. President, H.R. 436 is more government spending is equally at the desk and due for a second read- out of touch. Taking more money out U.S. SENATE, ing. of the private sector, out of the hands PRESIDENT PRO TEMPORE, Washington, DC, June 12, 2012. The ACTING PRESIDENT pro tem- of businesses and job creators or bor- To the Senate: pore. Without objection, the clerk will rowing it to pay for yet another stim- Under the provisions of rule I, paragraph 3, read the bill by title for the second ulus has consequences. We need to re- of the Standing Rules of the Senate, I hereby time. duce the size and scope of government,

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor.

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VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00001 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.000 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3932 CONGRESSIONAL RECORD — SENATE June 12, 2012 not expand it. We need to put in place The EPA wants to lift the ban that The ACTING PRESIDENT pro tem- a progrowth policy to allow the private prevents Washington, DC, bureaucrats pore. The majority leader is recog- sector to flourish. from regulating nonnavigable waters. nized. That is why Republicans have been The expanded Federal jurisdiction Mr. REID. Mr. President, I will take calling for years for comprehensive tax would bring the EPA and their redtape my time now and talk about a number reform and for both parties to sit down and taxes into the backyards of mil- of things. and begin the process of reforming en- lions—literally millions—of Ameri- JOB CREATION titlements. That is how we will get our cans. The economic impact would be The first thing I wish to mention is fiscal house in order and help the econ- disastrous. that my friend the Republican leader omy grow as well. But without Presi- Congress passed a navigable ban to talked about the fact that the Presi- dential leadership, it simply can’t hap- protect families, small businesses, and dent has not done enough to create pen. farmers from Washington bureaucrats jobs. Controlling only one Chamber, Re- trying to seize control of their water or Mr. President, we all have heard that publicans in Congress can only do so their land. The U.S. Supreme Court longstanding joke—in fact, it was not a much. The Republican-led House has twice affirmed the limits of Federal au- joke. I represented a young man who passed budgets while, for 31⁄2 years, the thority under the Clean Water Act. murdered his parents, and the joke dur- Democratic-led Senate has refused to But, apparently, the EPA believes they ing that period of time was, I guess do so. And they have passed 28 job-re- are above the other two branches of now your defense is going to be that he lated bills over in the House that our government, and Senators PAUL and is going to claim he is an orphan. Democratic friends here in the Senate BARRASSO are offering two amend- There was nothing novel or new or refuse to take up. For our part, Senate ments that would stop the EPA in its unique in the experience I had rep- Republicans will continue to pursue a tracks. resenting that young man who had pro-jobs agenda, and I encourage our The EPA is considering a regulation killed his parents, but the Republican Democratic friends to join us before that would require farm and ranch leader’s remarks remind me of that. He the administration’s spending and debt families to take as yet undefined meas- is saying that the problem with this spree forces us into the sort of eco- ures to lower the amount of dust that country is President Obama. That is nomic spiral we currently see facing occurs naturally—I am not kidding— like the fact that someone kills their folks over across the Atlantic. They lower the amount of dust that occurs parents and then claims they are an or- can start by working with Republicans naturally and is transmitted into the phan. on our commonsense amendments to air due to agricultural production ac- Republicans have blocked bill after the farm bill. bill after bill. These pieces of legisla- The President may think the private tivities. It is hard to go through this tion have been suggested by, intro- sector is doing fine or that the govern- and maintain one’s composure. These duced by friends of President Obama. ment isn’t big enough, but those in activities include such things as com- These were all job-creating bills, and rural America are definitely not doing bining, haying, moving cattle, tilling a simply every one of these, with rare ex- fine. The biggest threat to farmers in field, or even driving down a gravel ception, has been stopped on a proce- Kentucky and across America is this road. Failure to do so would result in a dural basis by the Republicans. administration’s job-killing regula- substantial fine. Senator JOHANNS is Then the Republican leader cites tions. That is why Republicans are offering an amendment that would pre- nonrelevant Republican amendments calling for votes on commonsense vent the EPA from issuing any new they would like to offer on the farm amendments that would either elimi- rule that regulates agricultural dust. I bill as ways to create jobs. But it is nate or prevent future job-killing regu- kid you not, they want to regulate ag- precisely these nonrelevant, non- lations from going into effect which ricultural dust. germane amendments that keep the would provide the necessary relief for Finally, Senator CRAPO and Senator Senate from doing its work—its job- American farmers and give a boost to JOHANNS are offering an amendment rural America in these challenging eco- that would help farmers across the creating work—like the farm bill. The nomic times. country continue to manage their farm bill involves 16 million people Last year, while visiting Atkinson, unique business risks associated with who work doing farm programs. We IL, the President blew off one farmer their day-to-day operations. The have not done one in 5 years. The high- when he asked about policy regula- amendment would prevent unneces- way bill is something we are waiting tions. The President said, ‘‘Don’t al- sarily diverting capital away from job for Republicans in the House to move ways believe what you hear.’’ Either creation and investing in their busi- with us on. the President doesn’t know what his nesses in a way that was never in- So I would just simply say that we administration is doing or he doesn’t tended by the sponsors of the Dodd- live in a world that is imperfect. We want the American people to know it is Frank Act. Preventing this unneces- live in a country that is imperfect. But his policies that are hurting farmers sary burden would promote economic let’s give credit where credit is due. all across the country. It is either one growth, protect farmers and busi- President Obama and this administra- or the other. nesses, and ultimately help save Amer- tion found themselves in a terribly Here are a few examples of this ad- ican jobs. deep hole when he was elected 31⁄2 years ministration’s policies that are suffo- In these extremely difficult economic ago. The administration he replaced cating the American agricultural in- times, rural America is already strug- lost more than 8 million jobs—about 1 dustry and the Republican amend- gling to get by and it simply can’t be million jobs a year in the prior admin- ments we want the Senate to take up. bothered by an overreaching Federal istration. And President Obama has Last fall, the Department of Labor Government that has literally no idea had 27 straight months of private sec- attempted to regulate the relationship, of the unintended consequences of its tor job creation. So I think we deserve believe it or not, shared between par- policies. and he deserves some credit for the ents and their kids on family farms. These five commonsense Republican work he has done in that regard. The proposed rule would have prohib- amendments I have outlined, along So I really strongly object to the Re- ited those under age 16 from manual with several others, put an end to nu- publican leader’s remarks. It is just labor such as stall cleaning, using a merous job-killing regulations, and simply wrong. And if we had some co- shovel, and using a battery-operated each of these amendments deserves a operation from my friends on the other screwdriver. Many people in my State vote. side of the aisle, as we say, we would consider this the type of manual labor I now wish to address another mat- have a lot more jobs created in this that is widely referred to as Saturday ter. country. But my friend has said that morning chores. Senator THUNE is of- (The remarks of Mr. MCCONNELL and his No. 1 issue is to defeat President fering an amendment that would re- Mr. REID pertaining to the introduc- Obama, and that is what has happened quire the Department of Labor to con- tion of S.J. Res. 43 are printed in to- here. We simply have not been able to sult with Congress before imple- day’s RECORD under ‘‘Statements on In- legislate appropriately because that is menting such regulations. troduced Bills and Joint Resolutions.’’) their mantra.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00002 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.003 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3933 CYBERSECURITY products or their operations from not networks that control our electrical Mr. President, technology has collapsing because of cyber attacks. grid, our water supply, our sewers, our changed our world, and that is an un- Cyber attacks do not threaten only nuclear plants, energy pipelines, com- derstatement. It has changed the way our national security, they threaten munication systems and financial sys- we shop, the way we bank, even the our economic security. These attacks tems and more. way we travel. It changes the way we cost our economy billions of dollars Because of Senator MIKULSKI—she get information, and that is an under- every year, millions of dollars every was the one who said this was impor- statement, and the way we share it, hour, and thousands of jobs. So we need tant—we did this. We went down to and that is an understatement. to act quickly to pass legislation to this classified room. We had a briefing It was about 10 years ago or so that make our Nation safer and protect on an example of what would happen to I decided to sell my home here in the American jobs. New York City if they took down the suburbs, and I was stunned by one of The Defense Department, Depart- computer system to run that State’s my boys telling me: Hey, Dad, do you ment of Homeland Security, and ex- electricity. It would be disastrous, not want to find out what other homes perts from across the intelligence com- only for New York but for our country. have been selling for around that area? munity have issued chilling warnings These vital networks must be re- Give me about a minute. And they about the seriousness of this threat. I quired to meet minimum cybersecurity pulled up on the computer every home cannot stress enough how concerned standards. That is what these promi- in that area that had been sold in the people who understand security feel nent Americans believe, and so do I. last 2 years—when, how much. about this. Just a few days ago, Sen- The letter was clear that securing the There was even more detail than ator MCCONNELL and I received a letter infrastructure must be part of any cy- that. I was like: How do you do that? from a remarkable bipartisan group of bersecurity legislation this Congress That was 10 years ago. That was in the former national security officials, considers. I believe that also. Dark Ages with technology. There is so Democrats and Republicans. GEN Keith Alexander, Director of the much that can be done now. Somebody The group includes six former Bush National Security Agency, has said can go online, go to Amazon, they can and Obama administration officials: something very similar. This is what buy virtually anything in the world on Michael Chertoff, who has been a cir- he wrote to Senator MCCAIN recently: that one Web site. cuit court judge, judicial scholar, be- Critical infrastructure protection needs to I met with someone a couple weeks came head of the Department of Home- be addressed in any cyber security legisla- tion. The risk is simply too great consid- ago who had gone to work with Google land Security during some very dif- ering the reality of our interconnected and when they had 15 employees, and he ficult times we had in this country; interdependent world. talked to us about the tremendous Paul Wolfowitz, who has been advising General Alexander is one voice problems they had starting this com- Presidents for decades; ADM Mike among many. President Obama; the pany. They wanted to give people infor- McConnell; GEN Michael Hayden; GEN nonpartisan Center for Strategic and mation. I will not go into all the de- James Cartwright, William Lynn, III. International Studies Commission on tails, but it was very difficult to come That is who signed the letter, and I Cyber Security; the two Chairmen of up with the Google that now exists. It could give a short dissertation on every the 9/11 Commission, Governor Kean was not there when there were 15 em- one of these individuals about what and Congressman Hamilton; the Direc- ployees. they know about the security of our tor of National Intelligence, General They were working all night long country. Clapper; the Director of the FBI, Rob- trying to shut down computers and The letter presented the danger in ert Mueller, have all echoed a call to keep others going. So it is amazing stark terms, as stark as I could ever action—not sometime in the distant fu- what we have on the computer. Every- imagine. This is a public letter. Listen ture but now. They believe the attack one can do it. Who wrote that song? to what this one paragraph says: ‘‘We is imminent. What is the name of that play? What is carry the burden of knowing that 9/11 The attack may not be one that the capital of Uzbekistan? Go to our might have been averted with intel- knocks down buildings, starts fires BlackBerry. Go to whatever we have ligence that existed at the time.’’ that we saw on 9/11, but it will be a dif- and get it in a second. Listen to that. They are admitting ferent kind of attack, even more de- So the way we get information, the 9/11 could have been averted with the structive. The entire national security way we share it, has changed so dra- tools we had at hand. They go on to establishment, including leading offi- matically. It has changed the way our say: cials of the Bush and Obama adminis- country protects itself. That is not We do not want to be in the same position trations, civilian and military leaders, something people understand as well as again when ‘‘cyber 9/11’’ hits—it is not a Republicans and Democrats, agree on Google and Amazon. But the way we question of whether this will happen; it is a the urgent need to protect this vital in- protect our country has changed. It has question of when. frastructure. changed the type of attacks we have to This is not me saying this. This is That is only part of it. Yet some key guard against. General Hayden, who was the head of Republicans continue to argue that we Some of the top national security of- the CIA, briefing us many times about should do nothing to secure the critical ficials, including GEN Martin some of the most sensitive matters infrastructure, that we should just Dempsey, Chairman of the Joint Chiefs going on during the height of the Iraq focus on the military. When virtually of Staff, GEN David Petraeus, four-star war, Marine GEN James Cartwright, every intelligence expert says we need general, now head of the CIA, one of Defense Department expert William to secure the systems that make the America’s great patriots, and Leon Pa- Lynn, III. lights come on, inaction is not an op- netta, Secretary of Defense, have all This eminent group called the threat tion. A coalition of Democrats and Re- said that malicious cyber attacks are of a cyber attack imminent. What does publicans, including the chairman of the most urgent threat to our country, imminent mean? It means now. They the Homeland Security Committee, not North Korea, not Iran, not Paki- said it ‘‘represents the most serious Senator LIEBERMAN, and the ranking stan, not Afghanistan but cyber at- challenge to our national security member, Senator COLLINS; the chair- tacks. We have already seen some of since the onset of the nuclear age sixty man of the Commerce Committee, Sen- these. They have been kind of quiet to years ago.’’ ator ROCKEFELLER—remember, Senator some but not to those in the security Let me reread that. They said it ROCKEFELLER was for years chairman field. ‘‘represents the most serious challenge of the Intelligence Committee and/or We have seen cyber attacks on our to our national security since the onset the ranking member; Senator FEIN- nuclear infrastructure, our Defense De- of the nuclear age sixty years ago.’’ STEIN, now the chair of the Intelligence partment’s most advanced weapons, They said it; I did not. The letter noted Committee, have joined together and and the stock exchange Nasdaq had an that the top cybersecurity priority is proposed one approach to address the attack. Most major corporations have safeguarding critical infrastructure: problem. It is legislation. It is not been attacked. They spend huge computer networks—we talked about something that is theoretical. It is not amounts of money protecting their those a little bit already. But computer an issue paper. It is legislation.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00003 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.005 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3934 CONGRESSIONAL RECORD — SENATE June 12, 2012 Their bill is an excellent piece of leg- to the people in my home State of Col- can grow manufacturing jobs and in- islation. It has been endorsed by many orado, nor, I believe, to Americans vestment in our country. When I start- members of the national security com- more broadly. ed, I mentioned the wind production munity. It is a good approach, and it Many of us know—I think all my col- tax credit, the PTC. It has been a key would make our Nation safer. But leagues know—that we have seen the factor in this growth, central to this there are other possible solutions to wind industry grow by leaps and young industry—and it is still a very this urgent challenge. Unfortunately, bounds over the last few years. Accord- young industry—and its success in the critics of the bill have failed to ing to the Wind Energy Industry Asso- America by helping make wind energy offer any alternatives to secure our Na- ciation, the industry has attracted an more economical, which is still being tion’s critical infrastructure. average of over $15 billion annually commercialized. The longer we argue over how to from 2001 to 2011 in private investment This critical tax credit expires at the tackle these problems, the longer our in our wind sector in the United end of this year. Unless we act now in powerplants, financial system, and States. this Congress to extend the wind pro- water infrastructure go unprotected. In 2009, that figure was $20 billion, duction tax credit, we risk losing this Everyone knows this Congress cannot when 10,000 megawatts, the highest an- industry as well as the jobs, the invest- pass laws that do not have broad bipar- nual total to date of wind, was in- ment and manufacturing base it cre- tisan support. There are 53 of us, 47 of stalled. Seventy-five thousand hard- ates, to our competitors in China, in them. So we will need to work together working Americans find good-paying Europe, and other countries. That is on a bill that addresses the concerns of jobs in the wind sector. There are 6,000 the last result we need in our economy. the lawmakers on both sides of the of those jobs in Colorado. So I am not I have come to the floor to urge the aisle. unbiased, but when we look around the Congress to keep our country an open But for that to happen, more of my country, nobody should be unbiased. marketplace for innovative energy in- Republican colleagues need to start Those jobs also have a positive ripple dustries and for new investments. The taking this threat seriously. It is time effect on all these communities where United States is on the cutting edge of for them to participate productively in they are based. In just over the last 4 renewable energy technologies and on a the conversation instead of just criti- years, wind represented 35 percent of path to further secure our energy inde- cizing the current approach. There is all new power capacity in our country, pendence. We have to maintain that room for more good ideas on the table, second only to natural gas. With tech- momentum by passing an extension of and I welcome the discussion of any nology advances, wind turbines are the wind production tax credit. Republican generally interested in now generating 30 percent more elec- In fact, it is so important—this ex- being part of the solution. tricity per turbine, which means they tension—that I am planning to come to The national security experts agree. are producing more energy while driv- the Senate floor every morning until We cannot afford to waste any more ing down cost. we get our act together and extend the time. The question is not whether to This also means all Americans from PTC—not just for Colorado but for act but how quickly we can act. I put the Great Plains to the eastern shores every State in our country. I plan to everyone on notice. We are going to have access to more affordable, reli- talk about the importance of wind en- move to this bill at the earliest pos- able, and secure clean energy. That is a ergy in a different State every time I sible date. win-win. It is little wonder our con- come to the floor. I look forward to RESERVATION OF LEADER TIME stituents are demanding we extend the talking about the State of the Pre- The ACTING PRESIDENT pro tem- wind production tax credit. I wish to siding Officer, the State of Delaware. pore. Under the previous order, the say this industry and the good news I hear every day from Coloradoans leadership time is reserved. that is coming out of it could not have who are incredulous that we have not Under the previous order, the fol- come at a better time for our manufac- acted to extend this commonsense tax lowing hour will be equally divided and turing base, which has seen relent- credit. We need to be reminded that controlled between the two leaders or lessly tough times over the last few American jobs are at stake if we fail to their designees, with the majority con- years. act. trolling the first half and the Repub- The wind industry is cutting against Simply put, if we don’t extend the licans controlling the final half. the grain. It is creating manufacturing PTC as soon as possible, the wind in- The Senator from Colorado. jobs at a time when many companies dustry will shrink significantly in 2013. Mr. UDALL of Colorado. Mr. Presi- are outsourcing jobs. This chart gives a Estimates are that we can lose almost dent, before I talk about the produc- great picture of what has been hap- half of the wind-supported jobs, down tion tax credit which brought me to pening all over the country. We see from 78,000 in 2012 to 41,000 in 2013. the floor, I wish to associate myself every sector of the country where we If we fail to extend this tax credit, with the leader’s remarks. have wind manufacturing jobs. total wind investment is projected to I have the great privilege to sit on At the end of last year, the wind in- drop by nearly two-thirds, from $15.6 the Armed Services Committee and the dustry included almost 500 manufac- billion in 2012 to $5.5 billion in 2013. Intelligence Committee. The leader has turing facilities that employ 30,000 peo- That is simply unacceptable. Luckily, I put his finger on what should be a sin- ple spanning 43 States. We have wind am not alone in this effort. There is gular focus on the part of the Senate. projects in a vast majority of States— strong bipartisan support in the Senate We have been warned about the threats 38 out of 50. Last year alone over 100 for the extension of this tax credit. in the cyber domain. It is time to act. different wind projects were installed— Yes, this is one of those occasions There are plans that are concrete, fo- ranging from a single turbine to over where we are talking about legislation cused, and have great support. We 4,000-megawatt capacity plants. that is supported by Members of both should act as soon as we possibly can. Back in 2005—7 years ago—we had parties. I wish to thank the leader for bringing only five wind turbine manufacturers. Senator GRASSLEY, a Republican Sen- that to our attention. But with steady and consistent growth ator from Iowa—along with myself and WIND POWER’S FUTURE and government policy support and seven other Democrats and Repub- I rise to talk about a very important certainty, the number of domestic and licans—introduced a bill earlier this issue for the economies of both my international manufacturers grew to 23 year to extend the tax credit. Senator State and the entire Nation. That is at the end of 2011. That is a key factor, JERRY MORAN, a Republican Senator the future of the wind power industry the certainty that has been provided from Kansas, and I led 12 Members in the United States and a future that that will help this industry continue to from across the country and both sides is at risk, I might add, if Congress does grow jobs. of the aisle in urging our Senate lead- not extend the production tax credit At a time when our economy is still ership to work with us to extend the for wind. Such inaction jeopardizes coming back after the 2008 recession, PTC as soon as possible. U.S. jobs and threatens what is a real and we are facing stiff competition We have not seen that happen yet, bright spot for American manufac- from other countries, the wind indus- Mr. President. Instead of addressing turing. Such inaction is not acceptable try is a dynamic example for how we this bipartisan proposal which has been

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00004 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.007 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3935 a proven job creator, Congress has been When this change is enacted, farmers percent. At the same time, grazing fees caught up in partisan fights. Let’s do will not be paid for crops they are not charged by private ranchers rose by 78 what Americans are demanding. Let’s growing on land they are not planting. percent. By an actuary’s term, that is work together to create jobs and Eliminating these direct payments will disintermediation. One is going one di- strengthen our economy, as well as our save $15 billion over 10 years, which rection and the other another direc- energy security. Let’s pass the PTC as will be used for deficit reduction. tion. soon as possible—ASAP. Producers in my State understand Furthermore, GAO found if the goals I will be back tomorrow, and I will that given our Nation’s fiscal prob- of the grazing fee were to recover ex- talk more specifically about the impor- lems, we have to have shared sacrifice penditures, BLM and the Forest Serv- tance of the PTC to my home State of to get the debt and deficit under con- ice would charge $7.64 and $12.26 per Colorado. We are home to thousands of trol. If we end these outdated subsidies, ‘‘animal unit month.’’ That is much renewable energy jobs, including high- the farm bill establishes that crop in- higher—get this—than the current paying manufacturing ones. But that surance will be the focal point of risk $1.35-per-animal unit ranchers pay to could change literally overnight if the management by strengthening crop in- graze on public lands. That is not fair. PTC is not extended. surance and expanding access so that The GAO stated that the formula For the good of our economy, I ask farmers are not wiped out by a few used to calculate the fee includes all of my colleagues from both sides of days of bad weather or bad prices. ranchers’ ability to pay and is not ‘‘pri- the aisle to work with me. Let’s work Crop insurance is a shared private- marily to recover the agencies’ expend- together to get the PTC extended. public partnership that maintains the itures or to capture the fair market I yield the floor. safety net we all need to sustain Amer- value of forage.’’ No kidding. That is The ACTING PRESIDENT pro tem- ican agriculture. In my efforts to iden- what they said and what they think pore. The Senator from Nebraska. tify other areas where shared sacrifice this program is all about. CYBERSECURITY for deficit reduction can be pursued, I In Nebraska, it costs livestock pro- Mr. NELSON of Nebraska. I rise am proposing an amendment to elimi- ducers who get this special deal $1.35 today to discuss an amendment that I nate another set of government sub- per cow to graze on public lands. But it am proposing to the 2012 farm bill that sidies which are unnecessary and costs other producers who don’t graze we are debating in the Senate. Before I should be eliminated. These subsidies on public land an average of $30 per speak to that, I also want to associate go to just 2 percent of the Nation’s cow to graze on private land just in myself with the leader’s comments livestock producers. They receive sub- northwest Nebraska. It costs an aver- about the importance of taking care of stantial taxpayer-paid subsidies for age of $38 per cow on private land just our cyber defense, putting ourselves in grazing on public lands. across all of northern Nebraska. That a position to be able to deflect and In the interest of fairness to all live- is according to the University of Ne- deter cyber attack from terrorists and stock producers and the taxpayers, we braska’s agriculture economics depart- otherwise against our industries and need to reform Federal grazing sub- ment. sidies. My amendment would require against our Federal Government. I note that I am aware others before As chairman of the Strategic Forces that ranchers pay grazing fees based me have tried to reform Federal graz- Subcommittee of the Senate Armed more closely on the market value for ing fees, and they are saying to me Services Committee, cyber command is their region when grazing on public right now: Good luck. Given today’s part of our responsibility. The leader is lands. Today, the 2 percent of livestock critical need to get our Nation’s fiscal exactly on target with his comments producers grazing on public lands pay house in order, it is time to bring graz- far below market value that other mar- about the need to move forward to pro- ing costs on public lands more in line ket producers are paying. tect our country against future cyber with what it costs producers to graze Given our huge Federal debt and def- attacks—which we encounter daily— icit, we can no longer afford to heavily on private lands. There is no fairness in recognizing that we perhaps do know subsidize an elite group of ranchers to this disparity. I urge my colleagues to join me in what we know, but we are in that un- graze their cattle on public lands at working to improve the 2012 farm bill fortunate position of not knowing what the taxpayers’ expense. These ranchers reforms by ending unfair and outdated we don’t know. receive a special deal—Federal ‘‘wel- To modernize and move forward is Federal grazing subsidies. Doing so fare’’ so to speak—that they don’t absolutely essential to maintain our need, most ranchers can’t get, and tax- would bring fairness to all livestock vigilance against cyber attacks in the payers should not be paying for. producers and have the added benefit of future. It is a matter of fairness to level this saving taxpayers more than $2 billion DIRECT FARM PAYMENTS playing field, and it will help balance over the next decade—savings that Mr. NELSON of Nebraska. Mr. Presi- the budget as well. This 2 percent of could help pay down the national debt dent, the amendment I wish to talk the country’s ranchers have grazing and reduce our deficit in the meantime. about today and propose is about fair- rights on public lands that cost the With that, I yield the floor. ness. It is about fairness for America’s government, by lost income, $144 mil- The ACTING PRESIDENT pro tem- farmers and ranchers and fairness to lion a year to manage. But the govern- pore. The Senator from Michigan is all taxpayers. ment collects only about $21 million a recognized. First, I note that one of the key ele- year in grazing fees from ranchers, ac- AGRICULTURE REFORM ments of the 2012 farm bill that we cording to a 2005 study by the GAO. Ms. STABENOW. Mr. President, in a drafted in the Senate, and is now on That leaves a net cost to taxpayers of short while—I think this afternoon—we the floor, is about reform. In particular more than $120 million a year. Losing will officially be back on consideration the bill reforms a program of Federal the $120 million of tax money per year of what is dubbed the farm bill—the subsidies that have gone to farmers re- isn’t fair to taxpayers, nor is it fair to Agricultural Reform, Food, and Jobs gardless of whether farm prices were producers who then are required to Act. This is something we do every 5 high or low. subsidize their competition. years to secure the safest, most afford- These subsidies are known as direct This report also found that the two able, reliable food supply in the world. farm payments. They were established agencies that manage most of the Fed- We are very proud of what our farmers by the 1996 farm bill as a way to transi- eral grazing lands—the Bureau of Land and ranchers do. tion producers away from a govern- Management and the U.S. Forest Serv- The largest investment in land and ment-controlled system of agriculture ice—actually reduced grazing fees dur- water conservation we make as a coun- to more market-based agriculture. ing years when grazing fees on private try on working lands is made through These direct farm payments, which lands increased. Get that: The Federal the farm bill—protecting our Great are outdated government subsidies, Government reduced fees on public Lakes, the Chesapeake Bay, and sup- were supposed to be temporary, and the lands when fees are being raised on pri- porting farmers who have environ- 2012 farm bill takes the necessary step vate lands. mental challenges and managing those to eliminate them and remove them The GAO found that from 1980 to 2004, on their lands. So these are very im- from the future. BLM and Forest Service fees fell by 40 portant investments.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00005 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.008 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3936 CONGRESSIONAL RECORD — SENATE June 12, 2012 We also make important investments We have not had the opportunity to We are moving forward now to the in nutrition for families who need tem- have in front of us a bill on the floor next phase on our farm bill consider- porary help, as many families certainly that cuts the deficit, with strong bipar- ation. Senator ROBERTS and I are work- have during this economic downturn, tisan support around policies that ing closely together to tee up some and many other exciting opportunities make sense and that we agree to. This amendments—both Democratic and Re- that create jobs. is an area where we have come forward. publican amendments—so we can begin The Presiding Officer, I know, cares In fact, I am very proud of the fact our the process of voting. We know there is very deeply about manufacturing, as do Agriculture Committees—in the fall, a lot of work to do. Colleagues have a I. One of the areas in which we are when the deficit reduction effort was lot of ideas. Certainly, some of those growing the economy is by making going on—came forward with a House- ideas I will support, some I will not things, growing things, and bringing Senate bipartisan agreement on deficit support, but the process of the Senate those together in something called bio- reduction. In fact, if every committee is to come forward and offer ideas, de- based manufacturing, which I will be had done that, we would have gotten to bate them, and vote. talking more about as we proceed, but where we needed to go. So we are working hard, hopefully to the idea is to use agricultural products I wish to thank my friend and rank- tee up some votes this afternoon or to- to offset chemicals, to offset oil and ing member Senator ROBERTS for his morrow that would give us the oppor- plastics. This is an exciting new oppor- strong leadership, as well as the chair- tunity to move forward. We know there tunity for us. We expand upon that man and ranking member in the House is a lot more work to do. We have a lot through opportunities in what we call for their joint efforts in that way. of ideas that colleagues have, and we the farm bill. But when that didn’t happen, we de- will continue to negotiate moving for- The bottom line is this is a jobs bill. cided we would keep our commitment ward on a final set of amendments. But There are 16 million people at work in to deficit reduction and move forward we think it is important to get started. this country—and there are not too on policies that would achieve that and I wish to thank all our colleagues many bills that come to the floor that we have done that with $23 billion in who came together on the motion to have the number 16 million—that are cuts. We do that by repealing what is proceed. It was extraordinary. After a in some way related to agriculture and called direct payments that go to a strong bipartisan vote in committee, food production. It may be processing, farmer regardless of what is happening, we are very appreciative of the fact our it may be production, it may be in the whether it is good times or bad. colleagues are willing to give us the op- In fact, we replace four different sales end, but 16 million people work in portunity to get this done with such a farm subsidies with a strengthening of this country because of agriculture in strong bipartisan vote on the motion crop insurance and additional risk- some way, and so it is important we to proceed. management efforts when there is a get this right. Also, before relinquishing the floor, I loss by the individual farmer, at the We also have a major trade surplus in notice my colleague from South Da- county. We focus on loss. As I indi- this country coming from agriculture. kota is here, and I wish to personally cated, we will support farmers for what So we are producing it here and then thank him for his leadership on this they plant. we are selling it overseas. I certainly We strengthen payment limits in bill, with extremely important provi- wish to make sure we are focusing on terms of where we focus precious tax- sions in the bill, both on risk coverage. exporting our products, not our jobs. payer dollars, and we also took a scal- The proposal to support farmers who The shining star of that is in agri- pel as we looked at every part of the have a loss came from a very impor- culture, where we have seen just in the USDA programs. We looked for dupli- tant proposal Senator THUNE and Sen- last few years a 270-percent increase in cation, what made sense, what was out- ator SHERROD BROWN put forward, agricultural exports. So this is a big dated, and we eliminated 100 different along with other colleagues, which is deal for us and it is part of why this is programs and authorizations within the foundation of what we are doing to a jobs bill and very important. this farm bill policy. Again, I don’t work with crop insurance to support We also know we need to reform agri- know many committees that have farmers. Also, Senator THUNE has been cultural production policies. This bill come forward with that kind of elimi- pivotal in a very important part of con- is very much about cutting subsidies as nation. servation that ties what we call the well as creating jobs. So what are we That doesn’t mean we are elimi- sodsaver amendment to the protection doing? We have taken the view in this nating the functions, the critical areas of prairie sod, prairie land, to crop in- farm bill where rather than focusing on of supporting farmers and ranchers or surance. If someone is breaking up the protecting individual programs that conservation or expanding jobs through sod, there would be a penalty on the have been with us a long time, we have renewable energy or our nutrition ef- crop insurance side. So it is an impor- focused on principles: What is it we forts or so on—farm credit, other be- tant way of bringing together account- need to do to have a strong economy, ginning farmers, and all the efforts we ability and crop insurance and pro- to support our farmers? Whether it is a are involved in. We are just doing it in tecting our native sod. This is some- weather disaster, such as we have had a more streamlined way. We are cut- thing, among many other things, Sen- in Michigan, or whether it is a disaster ting paperwork. ator THUNE has been involved in and in markets and prices, we don’t want In rural development, which affects shown real leadership. our farmers losing their farms because every single community, every town, As I said, this has been a strong bi- of a disaster beyond their control. We every village, every county outside our partisan effort. Again, I thank my col- all have a stake in that. There is noth- urban areas, we want to make sure a league from Kansas who has been a ing more risky, in terms of a business, part-time mayor can actually figure partner in this effort. than agriculture, where one is at the out rural development and use the sup- I look forward to having the oppor- whim of the weather and other market ports that are there to start businesses, tunity to bring all our amendments to forces. So we want to make sure we are to focus on water and sewer infrastruc- the floor and to give people the oppor- there. ture or roads, that it is actually simple tunity to move forward in good faith. We also know that for too long we and available and doable from their It is going to be critical that we move have paid government money to folks standpoint. We have spent our time forward in good faith so we can begin who didn’t need it for crops they didn’t working together to come up with to debate, to vote, and to get this bill grow. We are not going to do that any- something that makes sense for tax- done. more. This is a huge reform in public payers, for consumers of food, for those All the policies we have talked about policy, where we are moving to risk- who care deeply in every region of our actually end on September 30 of this based management. We are focusing on country about how we support farmers year, with very disastrous results for what we need to do to cut the deficit and ranchers and for those who care farmers and ranchers if we don’t get and strengthen and consolidate and very deeply about our land and water this done. They need economic cer- save dollars but also provide risk man- and air resources on working lands and tainty. The 16 million who work be- agement. In fact, in this bill, we are re- how we can work together to actually cause of agriculture are counting on us ducing the deficit by $23 billion. do that. to get this done so they can make their

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00006 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.010 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3937 decisions on what they are going to World War II. That clearly cannot be In fact, she has given every member of plant and how their business is going allowed to happen if we hope to have a our conference a rough readout as to to work. future in which we are secure, pros- exactly what the impact would be in I am proud of the effort so far, our perous, and at peace in the world. our States. But obviously, the Senator coming together and having folks join I wish to turn now to my colleague from New Hampshire and I don’t have in this wonderful bipartisan effort to Senator MCCAIN, who is the ranking access to the same database the Sec- get to work. member of the Armed Services Com- retary of Defense has as to these Dra- I yield the floor. mittee. He has been a leader in calling conian effects. The PRESIDING OFFICER (Mr. attention to this cloud of sequestration So in summary, I would say we are MANCHIN). The Senator from South Da- cuts looming over the Defense Depart- facing what is now known as the fiscal kota. ment and its threat to our national se- cliff: the debt limit, which needs to be Mr. THUNE. Mr. President, I ask curity. He is, obviously, one of the raised; the sequestration issue; the ex- unanimous consent that my Repub- foremost experts in the Senate when it piration of the Bush tax cuts; and sev- lican colleagues, Senators MCCAIN and comes to the issue of national security, eral other issues, which we are all AYOTTE, and myself be permitted to and someone who has been raising the going to now address in a lameduck enter into a colloquy for up to 30 min- issue of sequestration and its impact to session. That is a Utopian vision for a utes. our national security interest for some lameduck session that, frankly, is not The PRESIDING OFFICER. Without time. justified by history. objection, it is so ordered. I would ask Senator MCCAIN if he One of the aspects of this sequestra- DEFENSE SEQUESTRATION might comment on his observations tion, the reason we need to address it Mr. THUNE. Mr. President, I come to with regard to this issue and its impact now, is because the Pentagon has to the floor, along with my colleagues, on national security. plan. They have to plan on a certain Senators MCCAIN and AYOTTE, to talk Mr. MCCAIN. I thank my colleague budget. They can’t wait until the end about the significant uncertainty sur- from South Dakota and appreciate of this year, or early next year when it rounding sequestration and its threat very much his leadership on this issue kicks in, until January 2, I believe it to our national security. and my colleague from New Hampshire, is, of 2013, in order to adjust to it. So, The triggered reduction in spending Senator AYOTTE, who has done a pre- one, we need the information. is $1.2 trillion. After accounting for 18 liminary study on the effect of these And, two, Members of Congress need percent in debt service savings, the re- sequestrations on our defense indus- to know that the sequestration issue quired reductions amount to $984 bil- tries and jobs and employment in should be, and must be, addressed. I lion to be distributed evenly over a 9- States across America. thank Senator THUNE not only for his year period or $109.3 billion per year. In fact, she has been asked by the outstanding work on the farm bill but So what we are talking about is $54.7 Conference of Mayors to give them as- also for his leadership on this impor- billion in reductions will be necessary sessments. One of the problems we tant issue. in both the defense and nondefense cat- have is not only sequestration itself, as I yield to my colleague from New egories, despite the fact—despite the my colleague from South Dakota men- Hampshire, who has done probably a fact—defense funding constitutes just tioned, but the American people don’t more in-depth study of this issue and 20 percent of the budget. fully understand the impact—not only its impact on the defense industry in As my colleagues Senators MCCAIN from a national security standpoint America and jobs and employment and AYOTTE are well aware, this se- but from an economic standpoint. than any other Member. quester disproportionately impacts de- I appreciate and admire our Sec- Ms. AYOTTE. I thank Senator fense spending, putting our national se- retary of Defense who continues to say MCCAIN for his leadership as the rank- curity at risk. that sequestration would be dev- ing Republican on the Armed Services It has been almost a full year since astating to our national security, the Committee. No one knows these issues the Budget Control Act was passed, and effects would be Draconian in nature. better in the Senate than JOHN Congress needs a precise understanding He has described it in the most graphic MCCAIN. So it is an honor be here with from this administration as to the full and, I think, accurate terms. But we him, and also my colleague Senator effects of sequestration on national se- don’t know exactly what those impacts THUNE, with whom I serve on the Budg- curity funding. Both Senator MCCAIN would be and, unfortunately, the Sec- et Committee. Senator THUNE has been and I, along with Senators SESSIONS, retary of Defense and the Defense De- very concerned about the impacts of AYOTTE, and others, have called on the partment have not given us informa- sequestration on our national security. administration to detail the impact of tion as to what those impacts would I call sequestration the biggest na- sequestration on defense accounts. be. The American people need to know tional security threat you have never This information is necessary for and they deserve to know what these heard of. The American people need to Congress to address the deep and un- impacts would be. know this threat to their national se- balanced defense budget cuts that are That is why we put in the Defense au- curity, to the protection of our coun- expected under sequestration—which thorization bill a requirement that the try, which is our fundamental responsi- are in addition, I might add, to the $487 Secretary of Defense send to the Con- bility under the Constitution. billion in reductions that were carried gress and the American people the I fully support the amendment Sen- out last August. exact effects of this sequestration, ator MCCAIN has brought forward on What little information has been which he has refused to do, up until the farm bill that he championed, made available from the administra- now. along with Senator LEVIN, on the De- tion about the planned cuts to defense Since we have not taken the bill to fense authorization, because we can’t should give all of us pause about our the floor—and it may not be signed afford to keep hiding the details of Nation’s security if sequestration pro- until the end of this year—that is why what will happen to our Department of ceeds without any modifications. I have an amendment pending on the Defense and our military if sequestra- In a letter to Senators MCCAIN and farm bill, to seek that same reporting, tion goes forward. GRAHAM this past November, Secretary because Members of Congress, elected To be clear, as Senator THUNE has al- Panetta said that over the long term, representatives, and the American peo- ready identified, the Department of De- sequestration means we will have the ple deserve to know the effects of se- fense is taking significant reductions. smallest ground force since 1940, the questration. In the proposed 2013 budget from the smallest fleet of ships since 1915, and One, they need to know from the in- President, the Department will take the smallest tactical fighter force in terest of our national security, but I approximately $487 billion in reduc- the history of the Air Force. would argue to my friend they also tions over the next 9 years. That al- If sequestration were to go into ef- need to know from the impact on an al- ready means a reduction of approxi- fect, we risk turning back the clock on ready faltering economy. I want to mately 72,000 of our Army and a reduc- our military strength to where it was thank the Senator from New Hamp- tion of 20,000 of our Marine Corps. But during the early 20th Century, before shire, who has done more on this issue. what we are here talking about today

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As Sen- Well, let’s talk about some of the ican people from the threats that still ator MCCAIN and Senator THUNE have States that will be impacted, because remain around the world and are very already talked about, our Secretary of every one of my colleagues represents a real. We have seen it with Iran trying Defense has warned that these cuts will State in this Chamber that will be im- to acquire the capability of a nuclear be devastating; that they will be cata- pacted by the jobs at issue. weapon. It still remains a very chal- strophic; that we will be shooting our- We look at where our economy is lenging time, and we need to protect selves in the head if we did this for our right now, and yet we continue not to our country from the threats we face. national security; that we would be un- address this fundamental issue of se- I thank my colleague Senator THUNE, dermining our national security for questration when 1 million jobs are at and I turn it back to him. generations. stake. Mr. THUNE. I would say to my col- This is what it means, and what our For Virginia, the estimate is 123,000 league, the Senator from New Hamp- service chiefs have told us so far about jobs; Florida, 39,000 jobs; Ohio, 18,000 shire—because she mentioned that she the preliminary assessments of seques- jobs; North Carolina, 11,000 jobs; Con- and I both serve on the Budget Com- tration: necticut, 34,000 jobs; Pennsylvania, mittee—that this perhaps could have For our Army, what they have said is 36,000 jobs. In my small State of New been avoided had we passed a budget an additional 100,000 reduction in our Hampshire, it is projected that we will that dealt with title reform. Army, 50 percent coming from the lose approximately 3,300 jobs. The reason we have these huge cuts, Guard and Reserve, on top of the 72,000 So not only is this a national secu- these steep and unbalanced cuts to the coming in the proposed 2013 budget. rity issue, but we are also talking defense budget, is because we punted That would result in our ground forces about our defense industrial base. And on the Budget Control Act to the being reduced to the smallest size since once we lose much of the talent in that supercommittee, which didn’t produce before World War II. industrial base, it doesn’t necessarily a result, and this triggered these For the Navy, our current fleet is 285 come back. We have many small em- across-the-board reductions in spend- and the Navy has said previously that ployers who can’t sustain these cuts, ing—half of which come out of the de- we need 313 ships. If sequestration goes who will go bankrupt, and won’t be fense budget, as the Senator men- forward the Navy has said that our able to come back. And once they are tioned, a defense budget that rep- fleet will have to shrink to between 230 gone, we lose their expertise and the resents only 20 percent of Federal to 235 ships and submarines. At a time U.S. military becomes more reliant on spending. So proportionality here when China is investing more and more foreign suppliers. seems to be a real issue. Why would in their navy, where we have increased In fact, the CEO of Lockheed Martin you gut the part of a budget from our defense focus in our national secu- has said recently: which you get the resources to keep rity strategy on the Asian Pacific re- The very prospect of sequestration is al- your country safe and secure? gion, it would make that increased ready having a chilling effect on the indus- Frankly, it comes back—in my view, try. We’re not going to hire. We’re not going focus a mockery, truthfully, if we al- to make speculative investments. We’re not at least—to the fact that now, for 3 lowed sequestration to go forward. going to invest in incremental training, be- consecutive years, the Budget Com- We have heard the same from our cause the uncertainty associated with 53 bil- mittee, on which the Senator and I Marine Corps. What the Marine Corps lion of reductions in the first fiscal quarter both serve, has failed to produce a has said about sequestration every of next year is a huge disruption to our busi- budget, spelling out a more reasonable Member of Congress should be con- ness. and thoughtful plan for how to deal cerned about. The Assistant Com- To my colleagues who think we can with these challenges as opposed to mandant of the Marine Corps has said kick this can down the road until after having this budget axe fall in this dis- if sequestration goes forward, it is an the elections, please understand that proportionate way on our national se- additional 18,000 reduction in our Ma- when it comes to jobs, these defense curity interests. rine Corps, and that the Marines would employers have a responsibility under I am curious as to the Senator’s be incapable of conducting a single Federal law, what is called the WARN thoughts with regard to the reason why major contingency operation. Think Act, to notify their employees if they we are where we are today. about it: The Marine Corps of the are going to be laid off at least 60 days Ms. AYOTTE. I would say to my col- United States of America incapable of before a layoff will occur. league from South Dakota, you are ab- responding to a single major contin- What that means is there could be solutely right. It is outrageous that it gency operation. This is at a time when hundreds of thousands of WARN Act has been over 1,100 days that we have the threats to our country have not di- notices going out, likely before the not had a budget in the Senate. In the minished. This is at a time when we election in November, letting people Budget Committee that we both serve still have men and women, as we sit across this country know that they on, the Senator and I are anxious to re- here today, who are serving us admi- may lose their job because Congress solve the big fiscal issues facing our rably in Afghanistan. has not come forward and addressed country. And, by the way, OMB has already this fundamental issue to our national I agree with the Senator from South said that the OCO—or war funding— security right now. Dakota, if we did that function of will not be exempt from sequestration. In conclusion—and I know Senator budgeting, we wouldn’t be in this posi- We owe it to our men and women who THUNE is supportive of this. I am the tion where we have put our national se- are in the field right now to make sure cosponsor of a bill along with Senator curity at risk because we are not tak- they have the support they need and MCCAIN and others that comes up with ing on the big-picture fiscal issue to deserve from this Congress. savings to deal with the first year of get our fiscal house in order in Wash- When we look at where we are, this is sequestration, and I would ask every ington and make sure we reform man- not just about our national defense. Member of this Chamber: Let’s sit datory spending so those programs are But you would think that being about down and resolve this. We do need to sustainable and available for future our national defense, our foremost re- cut spending, and we should find these generations. So here we are. sponsibility in Congress, would be savings. It is important to deal with Not only do I serve on the Senate enough to bring everyone to the table our debt. But let’s make sure we find Armed Services Committee, but I am right now to resolve this, regardless of savings that don’t devastate our na- the wife of a veteran. It is astounding whatever your party affiliation is. But tional security or undermine our na- to me that we would put our national this is also an issue about jobs, because tional security for generations or hol- security at risk rather than doing our the estimates are, in terms of the job low out our force, as our Chairman of jobs, putting together a budget that is

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00008 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.012 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3939 responsible and proportional. That is Ms. AYOTTE. I ask Senator THUNE, I appreciate the leadership of the one of the underlying reasons why we is this not so important when we think Senator from Arizona, the ranking find ourselves in the position we are about the impact on our national secu- member of the Armed Services Com- right now. rity that now we hear from the Presi- mittee, and my colleague from New I ask my colleague from South Da- dent that Members on both sides of the Hampshire in raising and elevating this kota, as Commander in Chief, the aisle should sit down instead of kicking issue and putting it on the radar screen President has a responsibility on this this can beyond the elections? of the Senate in hopes that something very important issue. It is such an im- What I have heard from our employ- might actually happen before the elec- portant and weighty responsibility as ers is that they will have to make deci- tion. But that will require that the President of the United States to be sions now that could impact our de- President of the United States and his Commander in Chief. Where is the fense industrial base. We are talking administration get in the game. So far, President on these issues? about shipbuilders, we are talking we haven’t heard anything from them Mr. THUNE. Ironically, the point my about experts, small businesses that with regard to how they would imple- colleague from New Hampshire made work in this area. Once those jobs go ment sequestration or what sugges- earlier and the statements made by the away in terms of a small business, such tions they might have that would avoid President’s own Defense Secretary as a sole supplier on one of our major and avert what would be a national se- about what these cuts would mean just procurement programs, which happens curity catastrophe if these planned or speak volumes. It is absolutely stun- quite often, that expertise goes away. at least proposed reductions go into ef- ning when we look at the impact this We don’t immediately pull that back. fect at the first of next year. would have on our national security So we are talking about an estimate of I see that the Senator from Arizona, budget, and, at least to date, the Presi- 1 million jobs, and the private sector the ranking member of the Armed dent is not weighing in on this argu- can’t wait for us to resolve this until Services Committee, is back. Does the ment at all. after the election. They need us to re- Senator have any closing comment be- I think what the Senator from New solve this now. In my view, our mili- fore we wrap up this session? Hampshire and Senator MCCAIN and I tary can’t wait until after the election, Well, let me thank my colleagues in are saying is this: Show us your plan. nor should our military be put in that the Senate and particularly the Sen- If we are going to do something position. They should know that we are ator from Arizona and the Senator about this, we need to know how they going to resolve this because we want from New Hampshire for what they are intend to implement this. So the trans- to keep faith with them. We do not doing on this issue. I hope that we are parency issue is very important. Ask- successful and that in the end we can ing them to tell us how they are plan- want to hollow out our force. We do get some greater transparency from ning on making these reductions seems not want to put them at risk. So, on a the administration about how they in- to be a critically important part of not bipartisan basis, this is a critical issue tend to implement these reductions only informing the American public to resolve before the election. I won- and that we might be able to take the but giving Congress a pathway—if dered what my colleague’s view was on steps that are necessary, as was point- there is one—to address and perhaps re- that. Mr. THUNE. Mr. President, again I distribute these reductions. ed out, on a bipartisan basis. This is When we are talking about a $109 bil- appreciate the leadership of the Sen- not an issue that affects one side or the lion reduction that will take effect in ator from New Hampshire as a member other, it is an issue that affects the en- January of next year—half of which of the Armed Services Committee on tire country when we are talking about not only this issue of national security our national security interests and the comes out of defense—on top of $1⁄2 tril- lion in cuts to accrue over the next but also as a member of the Budget great jeopardy and risk we put them in decade that were approved as part of Committee, where we serve together. It if we don’t take steps to address this the Budget Control Act, that is a huge is critical that we do something soon, issue. chunk out of our national security and the reason for that, as the Senator I yield the floor. budget. from New Hampshire mentioned, is The PRESIDING OFFICER. The Sen- I think the Senator from New Hamp- that a lameduck session of Congress— ator from Arizona. shire made an excellent point as well is not an appropriate time to try to Mr. MCCAIN. Mr. President, I ask about how this obviously impacts na- legislate on a major issue such as this, unanimous consent to address the Sen- tional security first and foremost. I particularly given the fact that there ate in a colloquy with my colleague have always maintained that if we is going to be a pileup of other issues. from South Carolina, Senator GRAHAM. don’t get national security right to We have tax rate expiration issues to The PRESIDING OFFICER. Without protect and defend the country, then deal with and potentially another debt objection, it is so ordered. the rest is all secondary. limit vote coming up. NATIONAL SECURITY But there is a huge economic impact, It seems to me that we ought to pro- Mr. MCCAIN. Mr. President, Senator as was pointed out not only by the vide as much certainty as we can to GRAHAM and I know there are others study my colleague from New Hamp- our military, to the leaders of our mili- who would like to come to the floor on shire mentioned but also by the Con- tary who have to make these decisions, the issue of the almost unprecedented gressional Budget Office recently in and to the people who build these release of information which directly speaking about the fiscal cliff that hits weapons systems and experience many affects our national security—in fact, us in the first part of January next of these reductions that will impact the most important programs in which year and could cost us 1.3 percent in jobs. we are engaged, including the use of growth, which, according to the Presi- As my colleague mentioned, there is drones and our counterterrorism ac- dent’s economic advisers, could be 1.3 a Warren Act requirement that they tivities, and, of course, the highly clas- million jobs. If the national security notify people if they are going to lay sified cyber attacks that have been issue does not get your attention, cer- off people. There has to be a lead time made on the Iranians in order to pre- tainly we would think the economy to this, and that is why getting a plan vent them from achieving their goal of and jobs issue would. Yet we are hear- from the administration that lays out building nuclear weapons. ing silence—crickets coming out of the in specific and detailed terms exactly I can’t think of any time that I have White House. what they intend to do with regard to seen such breaches of ongoing national I would hope he would weigh in on sequestration is really important to security programs as has been the case this debate and at least provide us with this process and as a matter of funda- here. The damage to our national secu- an idea of how the administration in- mental transparency for the American rity has been articulated by many both tends to implement this and hopefully people and for the Congress. inside and outside of the administra- a plan about how to avert this. As has Clearly, there is a need—in my view, tion, including the most damaging that been emphasized by the President’s De- at least—for us to deal with this in ad- we have seen. Our Director of National fense Secretary, there would be a cata- vance of the election, not waiting, not Intelligence said that it is the worst he strophic impact on our national secu- punting, and not kicking the can down has seen in his 30 years of service in rity interest. the road as is so often done here. the area of intelligence. All of the

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For us to say mittee have described in the strongest their direct quotes. we don’t need one here is a precedent terms what damage has been done by It is obviously one of the highest that will haunt the country and this these ‘‘leaks.’’ breaches of security this country has body and future White Houses in a way Among the sources that the authors ever seen because of ongoing oper- that I think is very disturbing, I say to of these publications list are ‘‘adminis- ations that are taking place. By the the Senator from Arizona, because if tration officials’’ and ‘‘senior offi- way, our friends and allies, especially we needed one for Valerie Plame—alle- cials’’; ‘‘senior aides’’ to the President; the Israelis, who have been com- gations of outing a CIA agent—and if ‘‘members of the President’s national promised on the Stuxnet operation, the we needed one for Jack Abramoff, a security team who were in the [White virus in the Iranian nuclear program, lobbyist who had infiltrated the high- House Situation Room] during key dis- of course, feel betrayed. est levels of the government, why cussions’’; an official ‘‘who requested Now, can I finally say that I under- would we need one here? Is this less se- anonymity to speak about what is still stand our colleague and chairperson of rious? a classified program’’—I am quoting all the Intelligence Committee is going to The allegations we are talking about of these from the public cases; ‘‘current come over to object to our motion for are breathtaking. Go read Mr. Sanger’s . . . American officials . . . [who would the appointment of a special counsel. It book as he describes Operation Olym- not] allow their names to be used be- is the same special counsel who was ap- pic Games. It reads like a novel about cause the effort remains highly classi- pointed at other times in our history, how the administration, trying to fied, and parts of it continue to this and ahead of her appearance after the avoid an Israeli strike against the Ira- day’’; several sources who would be statements she made about how serious nian nuclear program, worked with the ‘‘fired’’ for what they divulged—pre- these breaches of intelligence were. It Israelis to create a cyber attack on the sumably because what they divulged is a bit puzzling why she should object Iranian nuclear program, and how suc- was classified or otherwise very sen- to the appointment of a special coun- cessful it was. It literally reads like a sitive. sel. novel. One author notes: I ask my colleague from South Caro- What about the situation regarding [O]ver the course of 2009, more and more lina—to place two outstanding individ- the Underwear Bomber case, a plot people inside the Obama White House were uals and prosecutors to investigate that was thwarted by a double agent. being ‘read into’ a [particular secret, com- still places them under the authority One could read every detail about the partmentalized] cyber program [previously of the Attorney General of the United plot and how dangerous it was and how known only by an extremely tight group of States. The Attorney General of the successful we were in stopping it from top intelligence, military and White House United States is under severe scrutiny officials], even those not directly involved. coming about. Then, how we got bin in the House of Representatives. The Laden and sharing information with a As the reports from the latest iteration of Attorney General of the United States the bug arrived— movie producer, but telling the world may be cited for contempt of Congress Talking about the cyber attack on about the Pakistani doctor and how we over the Fast and Furious gunrunning- used him to track down bin Laden. Iran— to-Mexico issue which also resulted, by Mr. MCCAIN. Mr. President, could I meetings were held to assess what kind of the way, in the death of a brave young add revealing the name of Seal Team 6. damage had been done, and the room got Border Patrolman, Brian Terry, in my more and more crowded. Mr. GRAHAM. That takes us to the own State, who was killed by one of bin Laden information. In the book Some of the sources in these publica- these weapons. That is how serious it there is a scenario where the Secretary tions specifically refused to be identi- is. fied because what they were talking I would think Mr. Holder, for his own of Defense went to the National Secu- about related to classified programs or benefit, would seek the appointment of rity Adviser, Thomas Donilon, and ongoing programs. One of the authors a special counsel, and I ask that of my said, ‘‘I have a new communication specifically observed that some of his friend from South Carolina. strategy for you regarding the bin sources would be horrified if their iden- Mr. GRAHAM. I think it not only Laden raid: Shut the F up.’’ tities were revealed. would serve Mr. Holder well, but cer- But the drone program, a blow-by- As always with this leaking, which tainly the country well. blow description of how the President goes on in this town, although not at We are setting the precedent that if handpicks who gets killed and who the level I have ever seen, I think we we do not appoint a special counsel— doesn’t. need to ask ourselves first who bene- and I don’t know these two U.S. attor- This is breathtaking. Certainly, it is fits—certainly not our national secu- neys at all. I am sure they are fine on par with Abramoff and Plame, I rity or our military intelligence profes- men. But the special counsel provisions think, the biggest national security sionals or our partners abroad who are that are available to the Attorney Gen- compromise in generations. For our more exposed as a result of these leaks. eral need to be embraced because it friends on the other side to say we I think to answer the question of who creates an impression and, quite frank- don’t need a special counsel here, but benefits, we have to look at the total- ly, a legal infrastructure to put the they were the ones arguing for one in ity of circumstances. In this case, the special counsel above common politics. the other two cases, sets a terrible publications came out closely together The precedent we are about to set in precedent, and we are not going to let in time. They involved the participa- the Senate if we vote down this resolu- this happen without one heck of a tion, according to those publications, tion is, in this case, we don’t need to fight. of administration officials. The overall assure the public that we don’t have to Senator Obama wrote a letter with a impression left by these publications is worry, the person involved is not going large group of colleagues urging the very favorable to the President of the to be interfered with; that in this case Bush administration to appoint a spe- United States. we don’t need the special counsel, and cial counsel and to have an inde- So here we are with a very serious there is no need for it. pendent congressional investigation on breach of national security—and in the Well, to my colleagues on the other top of that of the Valerie Plame CIA view of some, the most serious in re- side, how many of them said we needed leak case. He also joined in a letter cent history—and it clearly cries out a special counsel—Peter Fitzgerald— with his Democratic colleagues urging for the appointment of a special coun- who was not in the jurisdiction—Illi- the Bush administration to appoint a sel. nois wasn’t the subject matter of the special counsel in the Jack Abramoff I would remind my colleagues and Valerie Plame leaks. It happened in case because the allegations were that my friend from South Carolina will re- Washington. When Peter Fitzgerald Mr. Abramoff had access to the highest mind our colleagues that when the Val- was chosen as a special counsel, the levels of government and that extraor- erie Plame investigation was going on, country said that is a good choice, cho- dinary circumstances existed.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00010 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.015 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3941 What are we talking about here? We pointment of a special counsel—Vice ents. These meetings with the President and are talking about leaks of national se- President BIDEN—and how the White White House staff occurred while you were curity done in a 45-day period that House should handle Libby? I think serving as White House Counsel. Given the paint this President as a strong, deci- they should appoint a special pros- possible ties between Mr. Abramoff and sen- ior government officials, we believe the ap- sive national security leader. The book ecutor. In 2003, then-Senator BIDEN pointment of a special counsel is not only questions—not just the articles—is called for a special counsel with 34 Sen- justified, but necessary. there any reason to believe this may go ators, and then-Senator Obama re- The Public Integrity section of the Depart- to the White House? Look what hap- quested the appointment of a special ment has thus far pursued this case appro- pened with the Scooter Libby prosecu- counsel to lead the Abramoff case. priately, and we applaud its pursuit of Mr. tion in the Valerie Plame case. The I was involved heavily initially with Abramoff and his colleagues. As the inves- Chief of Staff of the Vice President of the Abramoff case, and I can tell my tigation turns to government officials and the United States eventually was held colleagues even though there was se- their staffs, both in the Executive and Legis- lative branches, we have no doubt that if the accountable for his involvement. vere corruption, there was certainly investigation is left to the career prosecu- Is there any reason to believe that nothing as far as a breach of national tors in that section, the case would reach its senior White House people may be in- security is concerned. Yet they needed appropriate conclusion. Unfortunately, the volved in these leaks? Just read the ar- a special counsel, according to then- highly political context of the allegations ticles. But this is a book review by Mr. Senator Obama, to investigate and charges may lead some to surmise that Thomas Riggs of the book in question Abramoff but not this serious con- political influence may compromise the in- by Mr. Sanger. Throughout, Mr. Sanger sequence. vestigation. This concern is heightened by clearly has enjoyed great access to sen- So I guess my unanimous consent re- allegations that Frederick Black, the former ior White House officials, most notably acting U.S. Attorney for Guam and the quest for this resolution will be ob- Northern Marianas, was replaced, perhaps to Thomas Donilon, the National Secu- jected to. But the fact is, we need a improperly, as a result of his investigation of rity Adviser. Mr. Donilon, in fact, is special counsel because the American Mr. Abramoff. the hero of the book as well as the people need to know. I do not believe Appointment of a Special Counsel at this commentator of record on events. It anyone who has to report to the Attor- point in time is made even more appropriate goes on and on in talking about how ney General of the United States would by the White House’s recent nomination of these programs were so successful. be considered as objective. Noel Hillman, the career prosecutor in Here is the problem. In the House, I ask unanimous consent for an addi- charge of the case, to a federal judgeship. As when a program is not so successful, a new prosecutor will need to take over the tional 3 minutes. case, we ask you to appoint an outside Spe- such as Fast and Furious, that is em- The PRESIDING OFFICER. Without cial Counsel so the public can be assured no barrassing to the administration. One objection, it is so ordered. political considerations will be a part of this can’t literally get information with a Mr. GRAHAM. Mr. President, if I investigation or the subsequent prosecu- subpoena. So we have an administra- may, I ask unanimous consent to have tions. tion and an Attorney General’s Office printed in the RECORD the letters writ- Because this investigation is vital to re- that is about to be held in contempt by ten by Senator Obama and Senator storing the public’s faith in its government, any appearance of bias, special favor or po- the House for not releasing informa- BIDEN asking for a special counsel. tion about the Fast and Furious Pro- litical consideration would be a further blow There being no objection, the mate- to our democracy. Appointment of a special gram that was embarrassing. When we rial was ordered to be printed in the counsel would ensure that the investigation have programs that were successful RECORD, as follows: and prosecution will proceed without fear or and make the White House look strong OBAMA, ET AL. LETTER ON ABRAMOFF favor and provide the public with full con- and the President look strong, we can FEBRUARY 2, 2006. fidence that no one in this country is above read about it in the paper. Hon. ALBERTO GONZALES, the law. All we are asking for is what Senator U.S. Department of Justice, We know you share our commitment to re- Obama and Senator BIDEN asked for in Washington, DC. storing the public’s trust in our government. previous national security events in- DEAR GENERAL GONZALES: We write to join We hope you will take the only appropriate volving corruption of the government: the request made last week that you appoint action here and appoint a special counsel so a special counsel to continue the investiga- we can ensure that justice is done while pre- a special counsel to be appointed, with serving the integrity of the Justice Depart- the powers of a special counsel, some- tion and the prosecution of those involved in the corruption scandal surrounding Jack ment. body we can all buy into. If we set a Abramoff’s dealings with the federal govern- We look forward to hearing from you on precedent of not doing it here, I think ment. The Department’s response to the this matter soon. it will be a huge mistake. press regarding that request did not address Harry Reid; Charles E. Schumer; Ken Mr. MCCAIN. Mr. President, wouldn’t the fundamental issue of a conflict of inter- Salazar; Barack Obama; Dick Durbin; my colleague agree that one of the est or the other serious issues raised by the Robert Menendez; Ted Kennedy; Daniel most revealing aspects of this entire letter. K. Inouye; Blanche L. Lincoln; Kent issue from program to program that This scandal has shaken the public’s con- Conrad; Jack Reed; Evan Bayh; Carl fidence in our government and all involved Levin; Joe Lieberman; Debbie Stabe- leads to enormous suspicion would be now; John F. Kerry; Bill Nelson; Frank that probably the most respected Mem- must be pursued vigorously. A special coun- sel will ensure the public’s confidence in the R. Lautenberg; Barbara Mikulski; ber of the President’s Cabinet who investigation and prosecution and help to re- Dianne Feinstein; Patty Murray; Dan- stayed over from the Bush administra- store its faith in our government. FBI offi- iel K. Akaka; Maria Cantwell; Hillary tion, Secretary Gates, was so agitated cials have said the Abramoff investigation Rodham Clinton; Ron Wyden; Barbara by the revelation of information about ‘‘involves systemic corruption within the Boxer; Jim Jeffords; Max Baucus; Joe the bin Laden raid that he came over highest levels of government.’’ Such an as- Biden; Chris Dodd; Patrick Leahy; Rus- to the White House and said to the sertion indicates extraordinary cir- sell D. Feingold; Tim Johnson; Paul Sarbanes; Tom Carper; Jeff Bingaman. President’s National Security Adviser cumstances and it is in the public interest that he had a ‘‘new communication that you act under your existing statutory authority to appoint a special counsel. BIDEN, DASCHLE, SCHUMER, LEVIN LETTER TO strategy.’’ He responded by saying to Mr. Abramoff’s significant ties to Repub- BUSH the National Security Adviser, ‘‘Shut lican leadership in Congress, and allegations UNITED STATES SENATE, the F up.’’ That is a devastating com- of improper activity involving Administra- Washington, DC, October 9, 2003. ment and leads one to the suspicion tion officials, reaching, possibly, into the The PRESIDENT, that things were done improperly in White House itself, pose a possible conflict of The White House, the revelation of these most important interest for the Department and thus further Washington, DC. and sensitive programs that were being warrant the appointment of a special coun- DEAR MR. PRESIDENT: We write to express carried out and are ongoing to this sel. Recent news reports confirm that Mr. our continuing concerns regarding the man- Abramoff met the President on several occa- ner in which your Administration is con- day. sions and during some of those meetings, Mr. ducting the investigation into the appar- So I ask my colleague, what is the Abramoff and his family had their photos ently criminal leaking of a covert CIA difference between the Biden-Schumer- taken with the President. Mr. Abramoff also operative’s identity. You have personally Levin-Daschle letter to President Bush organized at least one and possibly several pledged the White House’s full cooperation in 2003 where they called for the ap- meetings with White House staff for his cli- in this investigation and you have stated

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00011 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.020 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3942 CONGRESSIONAL RECORD — SENATE June 12, 2012 your desire to see any culprits identified and Justice Department regulations that created Mr. WYDEN. Reserving the right to prosecuted, but the Administration’s actions the authority to appoint a Special Counsel object—— are inconsistent with your words. have been met in the current case. Namely, Already, just 14 days into this investiga- there is a criminal investigation that pre- The PRESIDING OFFICER. The Sen- tion, there have been at least five serious sents a conflict of interest for the Justice ator from Oregon. missteps. Department, and it would be in the public in- Mr. WYDEN. Mr. President, I have First, although the Department of Justice terest to appoint an outside special counsel served on the Intelligence Committee commenced its investigation on Friday, Sep- to assume responsibility for the matter. In for 11 years now, and I have seen during tember 26, the Justice Department did not the meantime, we urge you to ask Attorney that time plenty of leaks. I have tried ask the White House to order employees to General Ashcroft to recuse himself from this with every bit of my energy to dem- preserve all relevant evidence until Monday, investigation and do everything within your September 29. Every former prosecutor with power to ensure the remainder of this inves- onstrate how serious an issue this leak- whom we have spoken has said that the first tigation is conducted in a way that engen- ing matter is. In fact, I teamed up with step in such an investigation would be to en- ders public confidence. Senator Bond—our colleagues remem- sure all potentially relevant evidence is pre- Sincerely, ber Senator Bond, of course—and I served, yet the Justice Department waited TOM DASCHLE. sponsored legislation to double—dou- four days before making a formal request for JOSEPH R. BIDEN. ble—the criminal penalty for those who such documents. CARL LEVIN. leak, for those who expose covert Second, when the Justice Department fi- CHARLES E. SCHUMER. agents. So I don’t take a back seat to nally asked the White House to order em- Mr. GRAHAM. I guess the difference ployees to preserve documents, White House anybody in terms of recognizing the se- Counsel Alberto Gonzales asked for permis- is we are supposed to trust Democratic riousness of leaks and ensuring that sion to delay transmitting the order to pre- administrations, and we can’t trust Re- they are dealt with in an extremely serve evidence until morning. That request publican administrations. I guess that prompt and responsive fashion. is the difference. It is the only dif- for delay was granted. Again, every former What is at issue here is whether we prosecutor with whom we have spoken has ference I can glean here. Certainly, the are going to give an opportunity for said that such a delay is a significant depar- subject matter in question is as equal U.S. attorneys—professionals in their ture from standard practice. to or more serious in terms of how it Third, instead of immediately seeking the fields—to handle this particular in- has damaged the Nation and in terms preservation of evidence at the two other Ex- quiry. I see no evidence that the way of the structure of a special counsel. If ecutive Branch departments from which the the U.S. attorneys are handling this in- we thought it was necessary to make leak might have originated, i.e., State and vestigation at this time is not with the sure the Abramoff investigation could Defense, such a request was not made until highest standards of professionalism. Thursday, October 1. Perhaps even more lead to high-level Republicans, which troubling, the request to State and Defense it did, and if we thought the Valerie I have disagreed with the Attorney Department employees to preserve evidence Plame case needed a special counsel to General on plenty of issues. My col- was telegraphed in advance not only by the go into the White House because that leagues know I have been particularly request to White House employees earlier in is where it went, why would we not be- in disagreement with the Attorney the week, but also by the October 1st Wall General on this issue of secret law. I Street Journal report that such a request lieve it would help the country as a whole to appoint somebody we can all think there are real questions about was ‘‘forthcoming’’ from the Justice Depart- whether laws that are written in the ment. It is, of course, extremely unusual to buy into in this case, give them the tip off potential witnesses in this manner powers of a special counsel? That is Congress are actually the laws that that a preservation request is forthcoming. what was urged before when the shoe govern their interpretations. So I have Fourth, on October 7, White House spokes- was on the other foot. disagreed with the Attorney General person Scott McClellan stated that he had This is a very big deal. We are talk- on plenty of matters. I think I have personally determined three White House of- demonstrated by writing that law with ficials, Karl Rove, Lewis Libby and Elliot ing about serious criminal activity. Apparently, the suspects are at the Senator Bond that I want to be as Abrams, had not disclosed classified infor- tough as possible on leakers. mation. According to press reports, Mr. highest level of government, and I be- McClellan said, ‘‘I’ve spoken with each of lieve it was done for political purposes. But I would now have to object to the them individually. They were not involved in To not appoint a special counsel would request from our colleague from Ari- leaking classified information, nor did they set a precedent that I think is dam- zona simply because I believe it is pre- condone it.’’ Clearly, a media spokesperson aging for the country and is absolutely mature. For that reason, Mr. Presi- does not have the legal expertise to be ques- unimaginable in terms of how someone dent, I object to the request from the tioning possible suspects or evaluating or Senator from Arizona. reaching conclusions about the legality of could differentiate this case from the their conduct. In addition, by making this other two we have talked about. The PRESIDING OFFICER. Objec- statement, the White House has now put the To my Democratic colleagues: Don’t tion is heard. Justice Department in the position of having go down this road. Don’t be part of set- The Senator from Oklahoma. to determine not only what happened, but ting a precedent of not appointing a PRESIDENT’S WAR ON COAL also whether to contradict the publicly stat- special counsel for some of the most se- ed position of the White House. rious national security leaks in recent Mr. INHOFE. Mr. President, I think I Fifth, and perhaps most importantly, the memory—maybe in the history of the have time reserved now for up to 30 investigation continues to be directly over- country—while at the same time most minutes. I wish to first of all say that seen by Attorney General Ashcroft who has the subject we have been listening to is well-documented conflicts of interest in any of my Democratic colleagues were on the record asking about a special coun- life threatening. It is critical. That is investigation of the White House. Mr. not why I am down here today because Ashcroft’s personal relationship and polit- sel about everything and anything that ical alliance with you, his close professional happened in the Bush administration. we have something else that is very relationships with Karl Rove and Mr. This is not good for the country. important. Gonzales, and his seat on the National Secu- Mr. MCCAIN. I appreciate the indul- I have come to the floor today with rity Council all tie him so tightly to this gence of my colleagues. some breaking news. The momentum White House that the results may not be UNANIMOUS CONSENT REQUEST to stop President Obama’s war on coal trusted by the American people. Even if the is now so great that some of my col- case is being handled in the first instance by As in legislative session, I ask unani- leagues—Senators ALEXANDER and professional career prosecutors, the integrity mous consent that the Senate now pro- of the inquiry may be called into question if ceed to the consideration of a resolu- PRYOR—are going to introduce a coun- individuals with a vested interest in pro- tion regarding the recent intelligence termeasure to my resolution. My reso- tecting the White House are still involved in leaks, which means the appointment of lution would put a stop to the second any matter related to the investigation. a special counsel, which is at the desk. most expensive EPA regulation in his- We are at risk of seeing this investigation I ask unanimous consent that the reso- tory—a rule known as Utility MACT, so compromised that those responsible for lution be agreed to, the preamble be with which the occupier of the chair is this national security breach will never be very familiar. The countermeasure is a identified and prosecuted. Public confidence agreed to, and the motion to reconsider in the integrity of this investigation would be laid upon the table. cover bill, pure and simple. be substantially bolstered by the appoint- The PRESIDING OFFICER. Is there While my resolution requires the ment of a special counsel. The criteria in the objection? EPA to go back to the drawing board

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00012 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.022 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3943 to craft a rule in which utilities can ac- leagues will vote for the only real solu- Several West Virginia power plants have tually comply, the measure that Sen- tion, which is my resolution, and which announced their closure and the loss of em- ators ALEXANDER and PRYOR are offer- of my colleagues will vote for a cover ployment that comes with it. Additionally, ing would keep Utility MACT in place vote? it is projected that with the implementation What has changed over the past few of this rule, consumer electric rates will sky- but delay the rule for 6 years. This al- rocket. ternative is a clear admission that the weeks to the extent of my colleagues Obama EPA’s policy is wrong, but it suddenly feeling it necessary for a We all know that is true. Even the does not fix the problem. It simply puts cover vote? President has stated that. off the day of execution for a matter of A lot has changed because the Amer- I wish to note that we have support 6 years. ican people are speaking up, and they from nearly 80 percent of the private What is really going on here? Since are not happy about the Obama EPA. sector—those businesses that President my S.J. Res. 37 is a privileged motion, When I go back to Oklahoma, that is Obama claims are ‘‘doing just fine.’’ it must be voted on by Monday, June all I hear. It does not matter if you are Apparently, they do not think they are 18, unless we extend it, which I would in the ag business, if you are in the doing all that fine. American busi- be willing to do, until after the farm military business, if you are in the nesses are suffering because of aggres- bill takes place. That might be a better manufacturing business, they are all sive overregulation by the Obama ad- idea. It requires 50 votes to pass. The talking about the onerous regulations ministration. Alexander-Pryor cover bill will likely that are taking place in the EPA. I am Let me take a minute to read the be introduced tomorrow. It is a bill pleased to say we have picked up the names of just some of the groups that that will likely never be voted on and support of groups representing business are supporting our efforts to pass S.J. would require 60 votes to pass. There- and labor. Even more encouraging is a Res. 37: The National Federation of fore, the Senators who want to kill growing number of elected officials are Independent Business, the U.S. Cham- coal by opposing S.J. Res. 37 will put working across the aisle to save coal. ber of Commerce, the American Farm their names on the Alexander-Pryor The Senate has taken notice, and the Bureau, the National Association of bill as cosponsors to make it look as if first Senate Democrats are beginning Manufacturers, the Industrial Energy they are saving coal, when in reality to come on board. Consumers of America, the American that bill, the Alexander-Pryor bill, I want to commend Senator JOE Chemistry Council, the Association of kills coal in 6 years. MANCHIN, who happens to be occupying American Railroads, the American We have seen this before. I remember the chair at this time, and Senator BEN Forest and Paper Association, the when we considered the Upton-Inhofe NELSON. They were the first two Sen- American Iron and Steel Institute, the Energy Tax Prevention Act when it ate Democrats to come out publicly in Fertilizer Institute, the Western Busi- came to the floor last year. It was a support of our resolution. I must say, I ness Roundtable, and the National measure that would have prevented the am very glad to see that they have Rural Electric Cooperative Associa- EPA from regulating greenhouse gases made the right choice to stand with tion. under the Clean Air Act. I would like their constituents. That is just part of it. to expand on that, but there is not Senator MANCHIN’s announcement Then the unions. The unions are time to do that. came just after the Democratic Gov- coming too—I have talked about the My colleagues offered a number of ernor of West Virginia, Governor businesses and read all of their counteramendments so they could have Tomblin, sent a letter asking him, as groups—they have come to stop the a cover vote. They wanted to appear as well as Senator ROCKEFELLER, to vote overregulation that is killing jobs. if they were reining in the out-of-con- for my resolution because, he said, Cecil Roberts, I had the occasion to trol EPA—and I think everybody EPA’s rules have—and I am quoting meet him once. He is the president of knows what is going on right now with now the Democratic Governor of West the United Mine Workers, one of the all those regulations—for their con- Virginia; and the occupier of the chair largest labor unions in the country. He stituents back home, all the while let- will know this—EPA’s rules have ‘‘coa- recently sent a letter to several Sen- ting President Obama go through with lesced to create an unprecedented at- ators saying the union’s support for my his job-killing regulations. Some chose tack on West Virginia’s coal industry.’’ resolution is ‘‘based upon our assess- to vote for the only real solution to the Still quoting, he said: ‘‘This attack ment of the threat that the EPA MATS problem—the Energy Tax Prevention will have disastrous consequences on rule’’—that is the coal-killing rule— Act—and some chose the cover vote. West Virginia’s economy, our citizens ‘‘poses to United Mine Workers Asso- But all in all, 64 Senators went on and our way of life,’’ and that EPA ciation members’ jobs, the economies record that day as wanting to rein in ‘‘continues on this ill-conceived path of coal field communities, and the fu- the EPA. But some of them did not to end the development of our nation’s ture direction of our national energy have the courage to stand by it. most reliable cost-effective source of policy.’’ Of course, it is highly unlikely the energy—coal.’’ Remember, Cecil Roberts is the one Utility MACT alternative by Senators I am very proud of a lot of the offi- who traveled across the country in 2008 ALEXANDER and PRYOR will ever get a cials in West Virginia for what they campaigning for President Obama. But vote, but that is not the point. The have come out with. Governor Tomblin after 4 years of his regulatory barrage point is just to have something out is not the only Democrat to be con- designed to kill the mining jobs his there that Senators in a tough spot can cerned. West Virginia Lieutenant Gov- union is trying to protect, Mr. Roberts claim to support. ernor Jeffrey Kessler sent a separate has said his group may choose not to As I have said many times now, the letter to the West Virginia Senators endorse President Obama or just sit vote on S.J. Res. 37 will be the one and and others asking them to pass S.J. the election out. As he explained: only opportunity to stop President Res. 37 in order to save what he called We’ve been placed in a horrendous position Obama’s war on coal. This is the only West Virginia’s ‘‘most valuable state here. How do you take coal miners’ money vote. There is no other vote out there. natural resource and industry.’’ He re- and say let’s use it politically to support If we do not do this, and that rule goes minded the Senators that: someone whose EPA has pretty much said, through—Utility MACT—coal is dead. On May 25, 2012, the State of West Virginia ‘‘You’re done’’? This is the only chance we have. challenged the MATS rule— With even Democrats and unions sup- Fortunately, we have a thing called that is the kill coal rule— porting my effort to save millions of the CRA. It is a process whereby a Sen- and cited four reasons the defective rule jobs that depend on coal, EPA has to be ator can introduce a resolution to stop should be rejected. feeling the pressure. an unelected bureaucrat from having That is not all. A group of bipartisan Gina McCarthy, the Assistant Ad- some kind of an onerous regulation. State legislators from West Virginia ministrator of EPA’s Office for Air and That is exactly what I have done with also wrote the Senators and others urg- Radiation, came out with a statement this. But this is the only chance for my ing them to support S.J. Res. 37 out of last week vehemently denying that colleagues to show constituents who concern for the devastating impact on Utility MACT and EPA’s other rules they do stand with. Which of my col- West Virginia. As they wrote: are an effort to end coal. She said:

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00013 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.024 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3944 CONGRESSIONAL RECORD — SENATE June 12, 2012 This is not a rule that is in any way de- Green’’—supporting EPA’S Utility hearing. As it states, some examples of signed to move coal out of the energy sys- MACT rule. That is the rule that would great visuals are ‘‘holding your baby tem. kill coal. In a YouTube video of this with you at the podium or pushing Everybody knows better than that. rally, Administrator Spalding gushes them in strollers, baby car seats,’’ and EPA Administrator Lisa Jackson over the environmental community, so forth. ‘‘Older children are also wel- echoed this sentiment saying that it is thanking them profusely for ‘‘weighing come.’’ It encourages the visual aids of simply a coincidence that these rules in on our behalf.’’ So here we have EPA ‘‘Asthma inhalers, medicine bottles, are coming out at the ‘‘same time’’ admitting that Big Green is working healthcare bills’’ and all these other that natural gas prices are low so utili- for them. things that are good visuals. ties are naturally moving toward nat- His whole speech was directly out of The American Lung Association cer- ural gas. Her message was: Do not the environmental playbook. This is tainly took a page of this playbook. We blame the EPA. something that really exists: the envi- have all seen the commercials of the Last week on the Senate floor, I de- ronmental playbook. It was all about red buggy in front of the Capitol. Of scribed why their public health and the so-called health benefits of killing course, the Sierra Club put their prin- natural gas arguments do not hold up, coal. And he said: ciples to practice by inundating the so I will not go into that today. But Don’t let anybody tell you these rules cost American people with images of small what I wish to focus on today is that our economy money. children with inhalers. these claims backing up their efforts to This is out of their playbook. The posters for the Beyond Coal cam- kill coal are just a part of the far-left Administrator Spalding is not alone paign also featured abdomens of preg- environmental playbook. in his alliance with Big Green. Also ap- nant women with an arrow pointing to There is a pretty big difference be- pearing with these far-left environ- the unborn baby. The words on the tween what EPA is saying publicly and mental groups was Region 5 Adminis- arrow are, ‘‘This little bundle of joy is what they are saying when they talk trator Susan Hedman. According to now a reservoir for mercury.’’ Another with their friends, when they feel as Paul Chesser, an associate fellow for one says, ‘‘She’s going to be so full of though they can let their guard down the National League and Policy Center, joy, love, smiles, and mercury.’’ and admit what is really going on down Hedman told supporters at the rally: Of course, the supreme irony is that at the EPA. That is exactly what hap- We really appreciate your enthusiastic the campaign that claims to be pro- pened in a video recently uncovered of support for this rule. It’s quite literally a tecting this unborn child is the same Region 6 Administrator Al Armendariz. breath of fresh air compared with what’s one that is aggressively prochoice. It is While President Obama was posing in going on in the nation’s capital these days. coming from a movement that believes front of an oil pipeline in my State of Of course, the former EPA region 6 there are too many people in the world Oklahoma pretending to support oil Administrator Armendariz showed us and actively advocates for population and gas, Administrator Armendariz again last week just how close EPA’s control and abortion. told us the truth, that EPA’s ‘‘general relationship is with the far left groups. Just after a hearing in May of this philosophy’’ is to ‘‘crucify’’ and make Armendariz had agreed to testify be- year, the Sierra Club posted pictures of examples of oil and gas companies. fore Congress. It was actually over in their efforts. Sure enough, there is one You may remember last week when I the House, but at the last minute he of Mary Anne Hitt, director of the Si- spoke on the Senate floor, I talked canceled. As it turns out, Armendariz erra Club’s Beyond Coal campaign, about a newly discovered video of EPA was in Washington that day. But while holding her 2-year-old daughter Hazel. Region 1 Administrator Curt Spalding he apparently could not find time to But for all their efforts, it is clear the who is caught on tape telling the truth testify before Congress, he did have campaign is about one thing only; that to a group of his environmental friends time to stop by the Sierra Club for is, killing coal. at Yale University. At a gathering what has been described by the group At a hearing, Mary Anne Hitt with there, he said that EPA’s rules are spe- as a private meeting. I suspect that the Sierra Club said, ‘‘We are here cifically designed to kill coal and that Armendariz was there for a job inter- today to thank the Obama administra- the process isn’t going to be pretty. view. His ‘‘crucify them’’ resume tion and to show our ironclad support He openly admitted: makes him the perfect candidate. for limiting dangerous carbon pollution If you want to build a coal plant you got a Of course, EPA and their Big Green being dumped into the air.’’ She appar- big problem. allies cannot tell the public the truth ently sees the Obama administration He goes on to say that the decision to that they are crucifying oil and gas as the closest ally in the Sierra Club’s kill coal was ‘‘painful every step of the companies or that their efforts to kill effort, and she has said about the Be- way’’ because it will devastate commu- coal will be ‘‘painful every step of the yond Coal campaign: nities in Virginia, Pennsylvania, and way’’ so they are deceiving the public Coal is a fuel of the past. What we’re see- any area that depends on coal for jobs with talking points from their play- ing now is the beginning of a growing trend and livelihoods. That is kind of worth book. When I say ‘‘playbook,’’ I mean a to leave it there. repeating. He said it is going to be literal document telling activists ex- Of course, it is not just coal they painful. At least he recognized that. actly how to get the emotional effects want to kill; they want to kill coal, oil, And we all know exactly what he is they want. and gas. A lot of people do not realize talking about. We recently got a copy of this, and I that. It was not long ago that Michael I read his whole quotes on the floor have to say its contents are quite re- Brune, the executive director of the Si- of the Senate. They are a little too vealing. It comes from erra Club, said: long to read now. But he talks about usclimatenetwork.com, a coalition of As we push to retire coal plants, we’re how painful it is going to be for all several major environmental groups, going to work to make sure we are not si- these families who are losing their jobs and it is a guideline for environmental multaneously switching to natural gas infra- because we are killing coal. activists when they attend hearings structure. And we’re going to be preventing I talked a lot about President with the EPA to support the agency’s new gas plants from being built wherever we Obama’s war on coal last week, but greenhouse gas regulations. can. what I did not have time to address A quick search revealed it was appar- So it is not just coal. It is oil. It is was the Obama administration’s allies ently written by a key player in the Si- gas. We have to ask the question—at in this war. It would come as no sur- erra Club’s Beyond Coal campaign, least I get the question asked when I prise that Administrator Spalding and, which is an aggressive effort to shut go back to my State of Oklahoma be- indeed, many at EPA are working hand down all coal plants across America. cause there are normal people there. in hand with the far-left environmental After offering some tips on the word They say: If we do not have coal, oil, groups to move these regulations to limit and how to deliver the message, and gas, how do you run this machine kill coal. the document urges activists to make called America? The answer is we can- Last July, Administrator Spalding it personal. It asks: Are you an expect- not. spoke at a Boston rally for Big Green ant or new mother? Grandparent? If so, As this vote on my Utility MACT res- groups—that is capitalized: ‘‘Big it suggests you bring your baby to the olution approaches, look for many of

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00014 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.025 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3945 my liberal friends to take their argu- What are the health impacts on chil- would be lost in Pennsylvania if utility ments directly out of the far left envi- dren and low-income families whose MACT is passed. That is significant. I ronmental playbook. Get ready to see parents will have less money to spend would not be surprised if all these Sen- lots of pictures of babies and children on their well-being when they have to ators from coal States that I just men- using inhalers. But these are the same put more and more of their paychecks tioned will vote for the bill of Senators Members who voted against my Clear into the skyrocketing electricity ALEXANDER and PRYOR that says: Let’s Skies bill, that would have given us a costs? kill coal, but let’s put it off for 6 years. 70-percent reduction in real pollutants, EPA Administrator Spalding gave us I repeat. It does not do any good to I am talking about SOx, NOX, and mer- a clue about the impacts of unemploy- delay the death sentence on coal 6 cury. We had that bill up, and that was ment. It would be, as he said, ‘‘Painful. years. Contracts will already be vio- one that would have actually had that Painful every step of the way.’’ Do my lated and the mines will be closed. So reduction—a greater reduction than colleagues in the Senate truly want I say to my colleagues that their con- any President has advocated. When that? I deeply regret that I have to be stituents will see right though those of President Obama spoke—at that time critical of two of my best friends in the who choose a cover vote. The American he was in the Senate—he said: I voted Senate, Senators ALEXANDER and people are pretty smart. They know against the Clear Skies bill. In fact, I PRYOR, particularly Senator PRYOR. there is only one real solution to stop, was the deciding vote, despite the fact Three of my kids went to school with not just delay, EPA’s war on coal. that I am from a coal State and half him at the University of Arkansas. He I hope they will join Senators my State thought I had thoroughly be- is considered part of our family. He is MANCHIN and NELSON and me and sev- trayed them because I thought clean my brother. But if someone has been to eral others and stand with the con- air was critical and global warming West Virginia and to Ohio and to Illi- stituents, instead of President Obama was critical. nois, to Michigan, to Missouri, and the and his EPA, which will make it pain- At an April 17 hearing this year, Sen- rest of the coal States, as I have, and ful every step of the way for them all. ator BARRASSO and Brenda Archambo, personally visited with the proud We need to pass S.J. Res. 37 and put an of the Sturgeon for Tomorrow, who tes- fourth- and fifth-generation coal fami- end to President Obama’s war on coal. tified before the EPW Committee, lies, as I have and certainly the occu- This is the last chance we have to do ‘‘Would Michigan lakes, sturgeon, pier of the chair has, they know they this. There is no other vote coming sportsmen, families have been better will lose their livelihood if Alexander- along. off had those reductions already gone Pryor saves the EPA’s effort to kill If a Senator does not want to kill into effect when they had the oppor- coal. I cannot stand by and idly allow coal, they have to support S.J. Res. 37. tunity to pass [Clear Skies]?’’ that to happen. It is our last chance to do it. Again, we Her answer was yes. We are talking Let me conclude by speaking to my do not know when this is going to come about, by this time, 6 years from now, friends in this body who have yet to up. It is locked in a time limit, unless we would have been enjoying those re- make up their minds as to whether we, by unanimous consent, increase ductions. There are crucial differences they will support my resolution. I that time. I have no objection to put- between Clear Skies and Utility MACT. know everyone in the Senate wants to ting it off until after the farm bill be- Clear Skies would have reduced the ensure we continue to make the tre- cause that is a very important piece of emissions without harming jobs and mendous environmental progress we legislation. So we will wait and see our economy because it was based on a have made over the past few years. We what takes place. commonsense, market-based approach. truly have. I yield the floor. It was designed to retain coal in Amer- The Clean Air Act many years ago ican electricity generation while re- cleaned up the air. We have had suc- f ducing emissions each year. cesses. Unfortunately, this administra- RECESS On the other hand, Utility MACT is tion’s regulations are failing to strike The PRESIDING OFFICER. Under specifically designed to kill coal as that balance between growing our the previous order, the Senate stands well as all the good-paying jobs that economy and improving our environ- in recess until 2:15 p.m. come with it. EPA itself admits the ment. Rather, this agenda is about Thereupon, the Senate, at 12:28 p.m., rule will cost $10 billion to implement, killing our ability to run this machine recessed until 2:15 p.m. and reassem- but $10 billion will yield $6 million in called America. bled when called to order by the Pre- benefits. Wait a minute. That does not Again, I wish to welcome the support siding Officer (Mr. WEBB). make sense. That is a cost-benefit ratio of Senators MANCHIN and BEN NELSON, between $10 billion and $6 million of who listened to their constituents. It is f 1,600 to 1. the rest of the Senators from the coal EXECUTIVE SESSION If their campaign is so focused on States that I am concerned about. public health, why did Democrats op- What about Senators LEVIN and STABE- pose our commonsense clean air regu- NOW, who come from a State that uses NOMINATION OF ANDREW DAVID lations? Very simple. Because we did coal for 60 percent of its electricity? HURWITZ TO BE UNITED STATES not include CO2 regulation in the Clear What about Senator CONRAD from a CIRCUIT JUDGE FOR THE NINTH Skies legislation. President Obama’s State with 85 percent of the electricity CIRCUIT—Continued quote only verifies that. He is on coming from coal? In Ohio, where Sen- record admitting he voted against ator BROWN is from, 19,000 jobs depend The PRESIDING OFFICER. The Sen- these health benefits because regu- on coal. Then there is Virginia, home ator from South Carolina. lating greenhouse gases, which have no of Senators WARNER and WEBB, which SPENDING effect whatsoever on public health, was has 31,660 jobs, a 16 to 19 percent in- Mr. DEMINT. Mr. President, I will more important. In other words, the crease in the electric rates. speak for a few minutes on the farm real agenda is to kill coal. Arkansas, the war on coal there, that bill, which we are debating this week. Just before President Obama made is 44.9 percent of electricity generation Four years ago, President Obama was the decision to halt the EPA’s plan to in the State of Arkansas; Tennessee, 52 elected on the promise of change, the tighten ozone regulations, the White percent of electricity generation, 6,000 promise to cut the deficit in half in the House Chief of Staff Bill Daley asked: jobs; Missouri, 81 percent of electricity first term, and to get unemployment, ‘‘What are the health impacts of unem- generation—81 percent in the State of before the end of his first term, to a ployment?’’ That is one of the most im- Missouri. That is 4,600 jobs at stake; low of 6 percent. We all know what portant questions before this Senate in Montana, 58 percent; Louisiana, that is happened to those promises. preparation for the vote on my resolu- 35 percent of electricity generation. Two years ago, a wave of Republicans tion to stop Utility MACT. What are These are all States that depend on were elected with the promise of cut- the health impacts on the children coal for their electricity generation; ting spending, borrowing, and debt. Yet whose parents will lose their jobs due lastly, Pennsylvania, 48.2 percent of debt has continued to explode, as has to President Obama’s war on coal? electricity generation, 49,000 jobs spending. We were promised change,

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00015 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.028 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3946 CONGRESSIONAL RECORD — SENATE June 12, 2012 but we got more of the status quo—a spent about $1 trillion. It had a lot of crease. Yet we are increasing it 60 per- lot more of it. We got a lot more spend- money in it for food stamps. It was a cent. ing, borrowing, and debt—to the point short-term, temporary stimulus, sup- It is hard to answer the question of where most Americans, at this point, posedly with a lot of new money for why we continue to do this—continue are deeply concerned about the future food stamps. to spend money, borrow money, and of their country. Between 2008 and now, we have in- talk about the need to cut. Yet for one Americans are still demanding creased food stamp spending about 400 program after another we increase change, and for good reason. We must percent—400 percent. I think that num- spending. change the way business in Washington ber actually goes back to 2000. During I oppose this bill for the reasons I is done because we are nearly $16 tril- periods of good economy and low unem- have talked about. It spends $1 trillion. lion in debt. We talk about the debt all ployment, we increased food stamps, We need an open debate, which we are the time, and these numbers are facts. and we have continued to increase that being told we are not going to have. We We are poised to spend nearly $1 tril- dramatically over the last few years. are not going to have all the amend- lion more on a massive farm bill that There was supposed to have been a ments we are talking about, which we some people in Washington have the temporary increase in food stamps. We need to fix this program. So if the lead- nerve to tell the American people saves are actually locking in that spending er decides to limit the debate and limit money. permanently with this new farm bill. the amendments, I will absolutely op- I want to talk a little bit about that But since it is slightly lower than this pose this bill and do everything I can because we obviously need to save temporary increase, the folks speaking to stop it. money. But despite all the fuss about to us today are saying: This is big sav- I plead with my colleagues to start the need to cut spending, the debt ceil- ings, America. We are saving money on telling Americans the truth. This farm ing debate, and the fact that we are ac- the farm bill. It is actually a 60-percent bill increases spending. It doesn’t save tually cutting our military defenses to increase in the last farm bill. money. It adds to our debt. It locks in the bone because of our overspending There is only one question: Does this spending on a program we need to in other areas, let’s look at what we bill really save money? The answer is change, particularly for the bene- have done this year as a Senate. We absolutely not. Instead of doing the re- ficiaries of the Food Stamp Program passed a highway bill that spent $13 forms we need in the Food Stamp Pro- who are not being helped. They are billion bailing out a highway trust gram, which, frankly, is about 75 per- being trapped in a dependent relation- fund because we spent too much there. cent or more of this bill, we are passing ship with government indefinitely in- We have spent another $140 billion in a farm bill that locks in what is sup- stead of us doing what will actually corporate welfare reauthorizing the Ex- posed to be a temporary spending level help them get a job and improve their port-Import Bank. We passed an $11 bil- for food stamps over the next 5 years. status in life. lion Postal Service bailout. Now we are What is really in this farm bill? A lot I encourage my colleagues to oppose working on a $1 trillion farm bill. of it is food stamps. There is some for- this bill. No one here can bring up one bill eign aid. There are some things for cli- I yield the floor. where we have actually cut spending. mate change. There is housing and The PRESIDING OFFICER. The Sen- Yet we know our country is going off a foreclosure. And there is broadband ator from Indiana. fiscal cliff. The farm bill supporters are Internet. It is a catch-all for a lot of NATIONAL SECURITY LEAKS telling us this bill saves money. Unfor- things. But in order for us to get what Mr. COATS. Mr. President, I rise tunately, we are using the same we need for the pharmaceutical indus- today to discuss the issue of national smoke-and-mirror accounting that is try in America, we have to agree to security leaks. often used in Washington—a lot of gim- this huge additional increase in these A few weeks ago, the world learned micks that make it appear less expen- other programs. that U.S. intelligence agencies and sive—and it is an affront to the Amer- The stunning expansion in the Food partners disrupted an al-Qaida plot to ican people who are demanding less Stamp Program is particularly con- blow up a civilian aircraft. We are all spending and debt. cerning because more than one in seven very familiar with the success of this There is absolutely no connection be- Americans is now on the Food Stamp effort, and we applaud those involved tween what some of my colleagues are Program. The number of people on the in preventing a truly horrific terrorist telling their constituents back home program has increased by 70 percent attack. and what they are doing in Washington since 2007 and 400 percent since 2000. However, my concern today, and has as far as cutting spending. They talk This, again, was when our economy was been since that time, is that the public about cutting spending, but now they good and unemployment was low. We has become too familiar with this suc- want to pass this farm bill. were still increasing. cessful operation. Specifically, due to The farm bill we are debating today Unfortunately, many politicians are an intelligence leak, the world learned is projected by the CBO to cost about using the food stamps to buy votes. of highly sensitive information, $1 trillion over the next 10 years. The The small part of the bill that actually sources, and methods that enabled the last farm bill cost $600 billion. This is deals with farming replaces one form of United States and its allies to prevent a 60-percent increase. corporate welfare for another. The bill al-Qaida from striking again. If we look at these numbers on the eliminates the controversial direct This irresponsible leak jeopardizes chart, you can understand the rest of payment system but replaces it with future operations and future coopera- the debate. The Congressional Re- something that many consider far tion with valuable sources and intel- search Service has confirmed these worse—a new program in this bill that ligence partners overseas. The release numbers. In 2008 we passed a farm bill is called agricultural risk coverage of this information—intentional or that was projected to spend $604 billion that promises farmers the government not—puts American lives at risk as over 10 years. The bill we are consid- will pay for 90 percent of their expected well as the lives of those who helped us ering today is projected to spend near- profits if the market prices decline. in this operation. ly $1 trillion—$969 billion. Yet the folks Under this scheme, farmers will pay no Unfortunately, this is not the only who are speaking about the farm bill attention to the laws of supply and de- recent leak to occur. As a member of here are telling us this saves some $20 mand because the government will the Senate Select Committee on Intel- billion. Only in Washington could they guarantee their profits. ligence, I am deeply concerned about a look at you with a straight face and Americans want less spending and troubling rash of leaks exposing classi- say this saves money. less debt. All the polls we have looked fied intelligence information that has Let’s talk about how they actually at—the National Journal poll that come out in the last several weeks. get that figure. came out—said 74 percent of Americans This paints a disturbing picture of this In 2008 it was about $600 billion. This believe the spending on food stamps administration’s judgment when it farm bill is about $1 trillion. What hap- should stay the same or decrease, and comes to national security. pened in the meantime was mostly the the spending on the farm bill, 56 per- There is a questionable collaboration President’s stimulus package, which cent say, should stay the same or de- with Hollywood, whereby the Obama

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00016 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.031 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3947 administration decided to give unprec- man FEINSTEIN and Vice Chairman Again, whether these officials are in- edented access to filmmakers pro- CHAMBLISS for their efforts and genuine tentionally leaking classified informa- ducing a movie on the bin Laden raid— interest in moving forward with this, tion is not the main point. If they put including the confidential identity of and I thank them for their leadership themselves in situations where they one of our Nation’s most elite warriors. on this matter. Our committee, work- are discussing or confirming classified Discussions with reporters in the after- ing across the Capitol with the House information, they must also be held ac- math of the raid also may have re- Intelligence Committee, will bring for- countable. Public pressure is required vealed the involvement of a Pakistani ward recommendations, including leg- to shape these investigations and to doctor, who was sentenced to 33 years islation, to address this growing prob- ensure all our questions about these in prison for treason after playing a lem. events are answered, which is why I am critical role in the hunt for bin Laden. As the Department of Justice con- speaking here today. The pages of our newspapers have ducts its investigations, we cannot lose Every day, we have men and women highly classified information pub- sight of important questions that must in uniform serving around the globe to licized pertaining to intelligence oper- be answered, such as but not limited to protect and defend this great country, ations in Yemen and Iran—currently, the following: and every day we have intelligence pro- the two most concerning foreign policy Question No. 1: Why did the White fessionals and national security offi- challenges this Nation faces. This is in House hold a conference call on May 7 cers working behind the scenes with al- addition to the frequency with which with a collection of former national se- lies and potential informants to pre- top administration officials now openly curity officials, some of whom are vent attacks on our country. These discuss the once highly classified exe- talking heads on network television, to leaks undermine all that hard work cution of drone strikes. All too fre- discuss the confidential operation to and all those countless sacrifices. Addi- quently we read in these publications disrupt the al-Qaida bomb plot? tionally, it risks lives and the success that ‘‘highly placed administration of- Question No. 2: Why is the White of future operations. Not only must we ficials’’ are the source of confirmation House cooperating so candidly with plug these damaging and irresponsible of previously classified information. Hollywood filmmakers on a movie leaks, we also must work to do all we Sadly, these incidents are not the about the Osama bin Laden raid, one of can to eliminate or greatly reduce the first time this Nation’s secrets have the most highly secretive operations in opportunity for them to occur in the spilled onto the streets or in the book the history of this country? While we future. Criminal prosecution and congres- stores. The problem stems in part from don’t know the date of the public re- sional action is not the only solution. the media’s insatiable desire for infor- lease of this Hollywood production, we We also need public accountability. Ad- mation that makes intelligence oper- can be sure that any release prior to ministration officials continue to ations look a lot like something out of the November Presidential election speak off the record with reporters and a Hollywood script. This media hunger will fuel a firestorm of accusations of authors about classified information is fed by inexcusable contributions political motives. even after these recent disclosures. It from current and former government Question No. 3: Why would the con- is a practice that contributes to unwise officials. fidential identity of elite U.S. military Mr. President, I want to repeat that and harmful consequences. personnel be released to Hollywood Purposely or accidentally, loose lips last statement. This media hunger to filmmakers? can bring about disastrous results. Per- publish classified information comes Question No. 4: Why would adminis- haps the best advice is the saying: from the inexcusable contributions of tration officials even talk to reporters ‘‘You don’t have to explain what you current and former government offi- or authors writing books or articles don’t say’’ or maybe it is even simpler cials. We now know that investigations about incredibly sensitive operations? than that. Maybe the best advice for by the FBI, CIA, and now two prosecu- Question No. 5: Did any administra- those who are privy to confidential in- tors are underway, but more must be tion officials—in the White House or formation is what former Defense Sec- done to prevent intelligence disclo- not—authorize the disclosure of classi- retary Robert Gates said, and I para- sures from occurring in the first place. fied information? phrase: Just shut the heck up. The question of whether the White These are just some of the key ques- I yield the floor. House purposely leaked classified in- tions that must be asked in this inves- Mr. LEAHY. Mr. President, last night formation, as the President refutes, is tigation. There also remain several the Senate voted to end the Republican not my main point. Whether it was in- questions surrounding the current in- filibuster of this outstanding nominee. tentional has little bearing on the re- vestigations. The appointment of two For the 28th time since President sults. Highly classified information prosecutors to lead criminal investiga- Obama was elected, the majority lead- still got out, and it appears to have tions into the recent leaks is a step for- er was forced to file cloture to get an been enabled by interviews with senior ward, but the scope remains unclear, as up-or-down vote on one of President administration officials. well as the question of whether we Obama’s judicial nominations. Justice At this time, I take the President at should insist on a special counsel given Hurwitz is not a nominee who should his word that the White House did not the current concerns about the credi- have been filibustered. With the sup- purposely leak classified information. bility of the Justice Department. port of Senator KYL, the partisan effort But what about his administration Will these investigations focus just to stall yet another judicial nomina- leaking it accidentally or what about on the Yemen and Iran issue or will the tion was defeated. I thank Senator KYL mistakenly or—and this is perhaps the leaks involving drone strikes and other and the Republican Senators who had best adjective that might apply—what leaks that have occurred in the past the good sense to agree to proceed to about stupidly? There remain a lot of months also be a target of the inves- an up-or-down vote on this nomination. unanswered questions about the White tigation? By any traditional measure, Justice House’s judgment and whether the ac- Will White House officials be inter- Hurwitz is the kind of judicial nominee tions by this administration, inten- viewed as part of this investigation? who should have been confirmed easily tional or not, enabled highly sensitive Which officials will or will not be by an overwhelming, bipartisan major- information to become public. available to take part in the investiga- ity. Justice Hurwitz has served for 9 The House and Senate Intelligence tion? Will those who are former or no years on the Arizona Supreme Court Committees are working together in a longer a part of the administration or and had a distinguished legal career. nonpartisan fashion—let me emphasize the Federal Government or those out- He has the support of his home state that we are working together in a non- side it, including those reporters in Senators, both conservative Repub- partisan fashion—to address this issue. question, be a part of this investiga- licans. He was unanimously rated well As a member of the committee, I am tion? qualified by the American Bar Associa- working with my colleagues to evalu- Will e-mails or phone calls of admin- tion Standing Committee on the Fed- ate a range of reforms to reduce or istration officials be analyzed to iden- eral Judiciary. And he was nominated hopefully eliminate the opportunity for tify who spoke with the reporters and to fill a longstanding judicial emer- future leaks. I wish to commend Chair- authors in question and when? gency vacancy on the overburdened

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00017 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.032 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3948 CONGRESSIONAL RECORD — SENATE June 12, 2012 Ninth Circuit after extensive consulta- not been tried to a jury. In his dissent, now that the Senate has been forced to tion between the White House and the Justice Hurwitz reasoned that a lim- invoke cloture with 60 votes to end a Arizona Senators. ited proceeding on that aggravating partisan filibuster, I hope the Senate The campaign that was mounted by factor was ‘‘constitutionally mandated will vote to confirm him with bipar- the extreme right against this out- and will likely bring this case to con- tisan support. standing nominee was wrong. I spoke clusion more promptly than the new I will conclude by emphasizing what against it yesterday, as did Senator round of federal habeas proceedings I have been saying for months, that the KYL and Senator FEINSTEIN. Some were that will inevitably follow today’s de- Ninth Circuit is in dire need of assist- attempting to disqualify a nominee cision.’’ Thus, Justice Hurwitz did not ance. This nomination should have with impeccable credentials because a ‘‘quarrel with the substance of the de- been considered and confirmed months Federal judge for whom that nominee termination,’’ but felt that the proce- ago. The Chief Judge of the Ninth Cir- clerked some 40 years ago decided a dural error should have been corrected. cuit along with the members of the Ju- case with which they disagree, a case The fact that he successfully argued dicial Council of the Ninth Circuit, that is still reflected as the law of the the case of Ring v. Arizona, where the wrote to the Senate months ago em- land. We have seen a number of new U.S. Supreme Court found by a 7–2 vote phasizing the Ninth Circuit’s ‘‘des- and disappointing developments during that the Constitution requires a jury perate need for judges,’’ urging the the last 2 years as Republicans have trial to establish the aggravating cir- Senate to ‘‘act on judicial nominees ratcheted up their partisan opposition cumstances that make a defendant eli- without delay,’’ and concluding ‘‘we to President Obama’s judicial nomi- gible to receive the death penalty, does fear that the public will suffer unless nees. On this nomination, for example, not make him an opponent of the death our vacancies are filled very prompt- I saw for what I think may be the first penalty any more than Justice Scalia ly.’’ The judicial emergency vacancies time a Senator reverse his vote for a and Justice Thomas, who supported the on the Ninth Circuit harm litigants by nomination and, instead, oppose clo- decision, oppose the death penalty. creating unnecessary and costly ture and support a filibuster of that That case was principally about the de- delays. The Administrative Office of same nomination. fendant’s Sixth Amendment right to a U.S. Courts reports that it takes nearly Justice Hurwitz’s nomination is rep- jury trial and it was not a challenge to 5 months longer for the Ninth Circuit resentative of the new standard that the death penalty. to issue an opinion after an appeal is has been imposed on President Obama’s Moreover, a ‘‘study’’ cited that pur- filed, compared to all other circuits. judicial nominees since this President ports to label Justice Hurwitz as ‘‘pro The Ninth Circuit’s backlog of pending took office. After close consultation defendant’’ is based on a sample size of cases far exceeds other Federal courts. with home State Senators, President only 10 criminal cases—and Justice As of September 2011, the Ninth Circuit Obama sent to the Senate a nominee Hurwitz was not on the bench for four had 14,041 cases pending before it, far with unimpeachable credentials. In- of them. That is hardly representative more than any other circuit. deed, in the near decade that he has of Justice Hurwitz’s career on the When Senate Republicans filibus- served on the Arizona Supreme Court, bench and the many criminal appeals tered the nomination of Caitlin not one of Justice Hurwitz’s decisions Justice Hurwitz has heard and the Halligan to the D.C. Circuit for posi- has been overturned. Despite the bipar- many convictions he has upheld. Let us tions she took while representing the tisan support for Justice Hurwitz, and be honest about his record. State of New York, they contended his excellent credentials, partisan Re- Justice Hurwitz is an outstanding that their underlying concern was that publicans have filibustered this nomi- nominee with impeccable credentials the caseload of the D.C. Circuit did not nation. and qualifications. He has a record of justify the appointment of another I heard some Senate Republicans at- excellence as a jurist. Not a single de- judge to that Circuit. I disagreed with tempt to mischaracterize Justice cision he has made from the bench in their treatment of Caitlin Halligan, Hurwitz’s record on the death penalty. his nine years as justice has been re- their shifting standards and their pur- Over his 9-year tenure on the Arizona versed, and he has the strong support ported caseload argument. But if case- Supreme Court, Justice Hurwitz has of both Republican Senators from Ari- loads were really a concern, Senate Re- personally authored eight opinions and zona as well as many, many others publicans would not have delayed ac- tion on the nominations to judicial joined numerous other opinions up- from both sides of the political aisle. holding the death penalty. He also re- A graduate of Princeton University emergency vacancies on the overbur- dened Ninth Circuit for months and sponded to both Senator GRASSLEY and and Yale Law School, Justice Hurwitz months. Senator SESSIONS that ‘‘the death pen- served as the Note and Comment Edi- So, let us move forward to confirm alty is a constitutionally appropriate tor of the Yale Law Journal. Following Justice Hurwitz without further delay. graduation, he clerked on every level form of punishment’’ and that he ‘‘has The partisan filibuster against this of the Federal judiciary: First for voted in scores of cases to uphold the nomination was wrong. Just as we Judge Jon O. Newman, who was then death penalty.’’ moved forward after defeating the fili- Justice Hurwitz’s critics argue that U.S. District Judge on the District of buster of the nomination of Judge Jack he was the lone dissenter in two rul- Connecticut. Subsequently, he clerked McConnell, let us move forward now to ings involving the death penalty, but for Judge Joseph Smith of the U.S. vote on the 17 other judicial nominees in each case Justice Hurwitz did not Court of Appeals for the Second Cir- ready for final Senate action and make oppose the death penalty but sought to cuit. Then he clerked for Justice Pot- real progress in working with the ensure that due process was followed to ter Stewart of the U.S. Supreme Court. President to fill judicial vacancies He then distinguished himself in pri- guarantee fair justice and prevent re- around the country. versal on appeal. In State v. Beaty, the vate practice, where he spent over 25 The PRESIDING OFFICER. The ma- State of Arizona had decided overnight years at a law firm in Phoenix, Ari- jority leader. to apply a new death penalty execution zona. While in private practice, Justice Mr. REID. Mr. President, shortly, we cocktail, and Justice Hurwitz felt that Hurwitz tried more than 40 cases to are going to move to confirm the judge a new execution warrant was nec- verdict or final decision. Justice whose nomination we voted to move essary. Justice Hurwitz’s dissent was Hurwitz has also taught classes at Ari- forward to last night. If everyone will not opposing the death penalty; rather, zona State University’s Sandra Day be at ease for just a moment. he specifically requested the court O’Connor College of Law for approxi- Let me ask Senator COBURN how long ‘‘immediately issue a new [execution] mately 15 years on a variety of subjects he wishes to speak. warrant effective as soon as legally including ethics, Supreme Court litiga- Mr. COBURN. Mr. President, I will possible.’’ tion, legislative process, civil proce- speak in conjunction with the majority In State v. Styers, Justice Hurwitz dure, and Federal courts. whip for a short period of time. I don’t relied on Supreme Court precedent and By any traditional measure, Justice have a long speech. held that it prevented the Court from Hurwitz is the kind of judicial nominee Mr. REID. If the Senator will be pa- affirming the defendant’s death sen- who should be confirmed easily by an tient, we will get this done very quick- tence when one aggregating factor had overwhelming, bipartisan vote. And ly.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00018 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.026 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3949 Mr. COBURN. You bet. have voted no against confirmation be- Hurwitz was a law clerk. My opposi- Mr. REID. Mr. President, the matter cause of my concerns about Mr. tion, on this issue, is based on what Mr. before the Senate is the nomination of Hurwitz’s record on right-to-life issues. Hurwitz himself takes credit for. Judge Hurwitz; is that right? I thank the Chair and I yield the He authored the article in question, The PRESIDING OFFICER. The Sen- floor. not as a young law clerk, but when he ator is correct. The PRESIDING OFFICER. The Sen- was well established and seasoned law- Mr. REID. I yield back all time on ator from Oklahoma. yer, shortly before joining the Arizona this nomination. Mr. COBURN. Mr. President, I just Supreme Court. In that article Justice The PRESIDING OFFICER. If there want to have it noted for the record Hurwitz praised Judge Newman’s opin- is no further debate, all time is yielded that I would have voted no on this ion for its ‘‘careful and meticulous back. nominee had we had a recorded vote. analysis of the competing constitu- The question is, Will the Senate ad- The PRESIDING OFFICER. The Sen- tional issues.’’ He called the opinion vise and consent to the nomination of ator from Indiana. ‘‘striking, even in hindsight.’’ Let me Andrew David Hurwitz, of Arizona, to Mr. COATS. Mr. President, I asso- remind you, the constitutional issues be United States Circuit Judge for the ciate myself with those last two re- and analysis he praises is Newman’s in- Ninth Circuit. marks. I would have also voted no. I fluence on the Supreme Court’s expan- The nomination was confirmed. wish we had had a recorded vote. sion of the ‘‘right’’ to abortion beyond Mr. ALEXANDER. I wonder if the I wasn’t able to understand even the first trimester of pregnancy. This, majority leader would permit me to what the majority leader was saying, it Hurwitz wrote, ‘‘effectively doubled the make a brief statement. was spoken so softly, but had we had a period of time in which states were Mr. REID. I will in one second. recorded vote, I would have been listed barred from absolutely prohibiting as no. abortions.’’ f The PRESIDING OFFICER. The Sen- Hurwitz’s article was clearly an at- ORDER OF PROCEDURE ator from Iowa. tempt to attribute great significance Mr. GRASSLEY. Madam President, I to decisions in which the judge for Mr. REID. I ask unanimous consent was shocked and disappointed to learn whom he had clerked had participated. that immediately upon the adoption of that the majority leader came to the I think by any fair measure, it is im- the motion to proceed to S. 3240, there floor to yield back all time and move possible to read Justice Hurwitz’s arti- be a period of debate only on the bill immediately to a voice vote on the cle and not conclude that he whole- until 4 p.m. today and that the major- nomination of Andrew David Hurwitz heartedly embraces Roe, and impor- ity leader be recognized at that time. to be U.S. Circuit Judge for the ninth tantly, the constitutional arguments The PRESIDING OFFICER. Is there circuit. I find this to be quite irregular that supposedly support it. objection? and outside the recent precedents of Now it would not be surprising to There being no objection, it is so or- this Senate. Typically, Members are learn that Justice Hurwitz might not dered. informed of such actions in advance. I be a pro-life judge. The question is not f was not so informed, and I am the his personal views, but his judicial phi- losophy. He defends the legal reasoning LEGISLATIVE SESSION ranking member of the Judiciary Com- mittee. I certainly did not intend to of Roe, despite near universal agree- yield my time and, in fact, I intended ment, among both liberal and conserv- to speak further on the nominee, par- ative legal scholars, that Roe is one of AGRICULTURE REFORM, FOOD, the worst examples of judicial activism AND JOBS ACT OF 2012—MOTION ticularly to make clear some correc- tions that I think needed to be made in our Nation’s history. TO PROCEED I have also raised my concern that after I debated this yesterday. Justice Hurwitz’s personal views do The PRESIDING OFFICER. Under Regardless of yielding time or fur- seep into his decisions as a judge. Yes- the previous order, the Senate will now ther debate, I expected a rollcall vote terday, I discussed his troubling record resume legislative session and will re- on this nominee. This has been Senate on the death penalty and how he ap- sume consideration of the motion to precedent recently. Before today, clo- pears to be pro-defendant in his judi- proceed to S. 3240, which the clerk will ture was invoked on 22 different judi- cial rulings. Some of my colleagues report. cial nominees. Only 1 of those 22 was The legislative clerk read as follows: came to the floor and stated they were confirmed without a rollcall vote— unaware of even one case where his Motion to proceed to Calendar No. 415, S. Lavenski Smith to the eighth circuit. 3240, a bill to reauthorize the agriculture personal views influenced his judicial Cloture was invoked 94 to 3 on July 15, decision making. So I will review a bit programs through 2017, and for other pur- 2002, and he was confirmed by unani- poses. of the record. mous consent later that day. Even Bar- While in private practice, Justice The PRESIDING OFFICER. Under bara Keenan, fourth circuit, had a con- the previous order, the motion to pro- Hurwitz successfully challenged Arizo- firmation rollcall after cloture was in- na’s death penalty sentencing scheme ceed is agreed to. voked 99 to 0. The Senator from Tennessee. in Ring v. Arizona, even though the law Furthermore, it has been our general previously had been upheld by the Su- VOTE ON HURWITZ CONFIRMATION understanding around here for some preme Court of the United States in Mr. ALEXANDER. Mr. President, I time that circuit votes would be by Walton v. Arizona. thank the majority leader. I simply rollcall vote. So I am extremely dis- After the Ring decision, Hurwitz, at- wanted to say I did not object to a appointed that there has been a breach tempted to expand the ruling by asking voice vote on Mr. Hurwitz’s confirma- of comity around here. the Arizona Supreme Court to either tion, but I wished to make this state- Yesterday I outlined my primary throw out each man’s death sentence ment. concerns regarding the nomination of and order a new trial or to resentence Last night, I voted for cloture be- Andrew David Hurwitz to be U.S. Cir- each to life imprisonment with the pos- cause when I became a Senator, Demo- cuit Judge for the ninth circuit. I con- sibility of parole, saying that allowing crats were blocking an up-or-down vote tinue to oppose the nomination and the previous death sentence to stand on President Bush’s judicial nominees. will vote no on his confirmation. would be a ‘‘dangerous precedent.’’ The I said then that I would not do that and I want to supplement and correct the Arizona Supreme Court refused to did not like doing that. I have held to RECORD on a few issues that arose dur- overturn the convictions and death that in almost every case since then. I ing yesterday’s debate. One of the big- sentences on a blanket basis, ruling believe nominees for circuit judges, in gest misunderstandings is that opposi- that the trials were fundamentally fair all but extraordinary cases, and dis- tion to Justice Hurwitz is based on a 40 and that the U.S. Supreme Court’s rul- trict judges in every case ought to have year-old decision made by a Judge ing didn’t require throwing out all the an up-or-down vote by the Senate. other than Justice Hurwitz. I do not death sentences. So while I voted for cloture last oppose his nomination because of what Justice Hurwitz didn’t stop there. night, if we had a vote today, I would somebody else did, or because Justice While on the Arizona Supreme Court,

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00019 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.034 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3950 CONGRESSIONAL RECORD — SENATE June 12, 2012 Justice Hurwitz continued to attempt As a sitting Justice on the Arizona The PRESIDING OFFICER. The Sen- to expand the scope of the Ring case. Supreme Court, Justice Hurwitz tends ator’s vote will so be noted. His personal opposition to the death to be pro-defendant. A study by court Mr. DURBIN. Mr. President, I come penalty appears to have influenced his watcher and Albany Law School Pro- to the floor now with my friend and decisions on the Arizona Supreme fessor Vincent Bonventre validated the colleague from the State of Oklahoma, Court. pro-defendant posture of Justice Senator COBURN, to discuss an amend- Justice Hurwitz was the lone dis- Hurwitz. In a 2008 study, Professor ment we hope to offer to the farm bill, senter in the case of State of Arizona v. Bonventre examined the criminal deci- which I believe is the pending matter Styers. In that case, a jury found sions in which the Arizona Supreme before the Senate. I will make a brief James Lynn Styers guilty of the 1989 Court was divided over the previous statement and then yield to my col- murder, conspiracy to commit first de- five years. His study found that Justice league from Oklahoma. gree murder, kidnapping, and child Hurwitz was the most pro-defendant As I said, I come to the floor to speak abuse of four-year-old Christopher member of the Court, siding with the about an amendment I intend to offer Milke. pro-defendant position 83 percent of the with Senator COBURN. Our amendment Four-year old Christopher was told time. This is well outside the main- would reduce the level of premium sup- he was being taken to see Santa Claus, stream for the other members of the port for crop insurance policies by 15 but instead he was taken to the desert Court during the five-year period. As percentage points for farmers with an and brutally shot in the back of the reported by the study, he took a pro- adjusted gross income over $750,000 a head. prosecution posture during that five year. After years of appeals, the case found year period only once since he joined According to a recent GAO report, itself in federal court, making its way the court. the Federal Government pays, on aver- to the Ninth Circuit. In 2008, nearly 19 Mr. President, my opposition to Jus- age, 62 percent of crop insurance pre- years after the heart wrenching crime tice Hurwitz is not because of any mis- miums for farmers. Let me put that in took place, the Ninth Circuit sent the behavior in his youth, silly antics as a perspective. These farmers are buying Styers case back to Arizona. In June college freshman or immature writings insurance so they can protect them- 2011, some 22 years after this horrific in college. I am not suggesting any- selves against the risk of low prices or event occurred, the Arizona Supreme thing like that is in his record, but bad weather, and the premiums that Court, in a 4–1 decision, upheld Styers’ such examples were raised in the de- are charged to them are collected to death sentence. Justice Hurwitz, at- bate yesterday. It is unfortunate that pay to those farmers who collect. At tempting to cite Ring as authority— such arguments would have been raised the end of the day, 62 percent of the the case he argued in while in private in this serious debate. value of the premiums for the crop in- practice—was the sole Justice on the I oppose the confirmation of Justice surance are paid by the taxpayers. In Arizona Supreme Court who thought Hurwitz based on his record as a Jus- other words, there is a 62-percent Fed- that Christopher’s murderer should be tice on the Arizona Supreme Court and eral subsidy on these premium support given another trial, likely resulting in because of his published views which payments for crop insurance across another round of delays. reflect a judicial ideology that is out- America. If he had his way, the victims in this side the mainstream. The amendment which I will offer Madam President, it seems to me crime would still be awaiting justice, with Senator COBURN would change Arizona taxpayers would be facing un- that all the business of the Senate is that. The reason came out very clearly based upon trust between one Senator necessary expenses and society at large in the GAO report on crop insurance. and another. When the ranking mem- would still be waiting for a resolution Last year the Federal Government— ber of the Judiciary Committee isn’t of the case. the taxpayers—spent $7.4 billion to In another death penalty case, State notified of this action—or any other cover that 62 percent of crop insurance of Arizona v. Donald Edward Beaty, Senator—it seems to me that trust has premiums—$7.4 billion in subsidies for been violated. I won’t be satisfied that Justice Hurwitz was again the lone dis- crop insurance for farmers, and the that trust has been restored unless senter. Donald Beaty was convicted of amount spent by taxpayers each year there is some action taken to have a the May 9, 1984 murder in Tempe of 13- has been growing dramatically. To rollcall vote on this nomination. cover roughly the same amount of year-old Christy Ann Fornoff. Thir- I yield the floor. teen-year-old-Christy was abducted, Mr. ISAKSON. Mr. President, today acres, the Federal Government paid sexually assaulted and suffocated to the Senate confirmed Executive Cal- nearly $2 billion more in 2011 than in death by Beaty while collecting news- endar No. 607, Andrew David Hurwitz, 2009 because the value of the crops—the paper subscription payments. of Arizona, to be United States Circuit price for the crops—had gone up during Beaty, who has been on death row Judge for the Ninth Circuit on a voice that period of time. A point we would like to make and since July, 1985, was scheduled to die vote. I request that the RECORD reflect by lethal injection at an Arizona De- my opposition to the nominee and that hope our colleagues would note is that partment of Corrections prison in Flor- I would have voted ‘‘nay.’’ 4 percent of the most profitable farm- ers in America or farming entities ac- ence at 10 a.m. on May 25, 2011, more OBJECTION TO FURTHER PROCEEDINGS ON THE than 27 years after the crime occurred. NOMINATION OF ANDREW HURWITZ counted for nearly one-third of all the Beaty’s execution was delayed for most Mr. GRASSLEY. Mr. President, ear- premium support provided by the Fed- of the day as his defense team tried to lier today, the nomination of Andrew eral Government. This is an indication challenge the Arizona Department of Hurwitz, to be United States Circuit on this chart of what we are talking Corrections’ decision to substitute one Judge for the Ninth Circuit was agreed about. The premium subsidies for 3.9 approved drug for another in the to by voice vote. It is unclear whether percent of farmers across America ac- state’s execution-drug formula. The or not a motion to reconsider was counted for a little over 32 percent, al- Arizona Supreme Court ruled 4–1 to lift made, whether or not a motion to table most 33 percent of all the Federal pre- the stay, with the majority saying a motion to reconsider was offered, and mium support subsidies. These are Beaty’s lawyers hadn’t proved he was whether or not a request was made to pretty expensive farmers when it likely to be harmed by the change. notify the President was part of the comes to the Federal subsidy. Facing Once again, Justice Hurwitz was the order. stark realities, we can’t justify con- sole dissenter. I object to any further proceedings, tinuing to provide this level of pre- If Justice Hurwitz had his way, the including those listed above, based on mium support to the wealthiest farm- State would have had to start over the fact that a rollcall vote was ex- ers. with the death warrant process, lead- pected on this nomination. Net farm income has gone up dra- ing to additional delays and pain to the The PRESIDING OFFICER. The Sen- matically—in 2011 reaching a record victim’s family. ator from Illinois. high of $98.1 billion. The USDA fore- So there are two examples of where Mr. DURBIN. Mr. President, for the casts that income will continue to his death penalty views seeped into his record, I want to be recorded as an af- grow at a slightly higher rate than judicial decision making. firmative on the previous nomination. costs over the life of this farm bill

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00020 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.053 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3951 which is before us. And the net in- We have to draw the line somewhere. as far as the Senate is looking at it. come—much like government pay- Our amendment is a commonsense re- There is a real differential there be- ments, agricultural payments are con- form that limits the future cost of crop tween the rest of business and com- centrated in our largest farms. Farm insurance programs. merce in America and our farm pro- size has a direct impact on the profit Let me reassure producers across gram. I understand the need for that, margin of the farm. America and in my home State of Illi- but this bill actually increases our We have many large farms in Illinois, nois that this is not an attack on crop costs for the Crop Insurance Program certainly across the country, but we insurance. We need crop insurance. Ev- by $5.2 billion as it is written. have many smaller farmers too. What erywhere I go, producers tell me crop What the Senator from Illinois and I is the difference? On a smaller farm insurance is the most important tool have proposed is a commonsense earn- with lower income, there is less return, the Federal Government offers farmers ings limit that is associated with every less profit, higher risk. According to to manage risk. I hear them, and I rec- other program in title I that would the USDA, farms with sales ranging ognize the role crop insurance has say: We are going to help you, but we from $100,000 to $175,000 have an aver- played in managing the Federal role of are just not going to help you as much age profit margin of 1.2 percent. You providing disaster assistance. So I will because you therefore, and by your own can see they are close to the edge. be very clear. This amendment does success, have the means to help your- They need crop insurance. In a bad not exclude anyone from participating self. year, they are wiped out. But take a in crop insurance. The vast majority of We are going to spend a lot of money look at the larger farms. With more farmers will see absolutely no change on insurance over the next 10 years in than $1 million in sales each year, their in the level of premium support pro- this farm bill. It is $94.6 billion. What average profit margin is 26.8 percent. vided by the Federal Government. This Senator DURBIN and I are proposing is There is an economy of scale. There is amendment only impacts farmers’ $1.2 billion in savings. money to be made. And that is the largest farms with the highest in- A lot of people don’t realize the ad- basis for Senator COBURN and me draw- come—those most able to cover more vances that our farmers and the indus- ing the line and saying there will be a of their own risk. tries that supply them have made. As reduction in the Federal subsidy for Why are we doing this? Because we Senator DURBIN pointed out, farm in- crop insurance premiums for the most have a deficit, and we need to deal with come has been up the last 5 years and profitable farms. These larger and it in an honest fashion. The underlying is projected to continue to increase. wealthier farms can afford to cover farm bill saves money in direct pay- Input costs for fertilizer are going more of their own risk, and they should ments and other means over a number down. Input costs for seed and other cover more of their own risk. of years, and I commend Senators STA- chemicals are going up. We want a via- The single largest recipient of crop BENOW and ROBERTS for that effort. ble farm program, but what we don’t insurance premium support last year What Senator COBURN and I will do want is the next generation paying for received $2.2 million to cover the Fed- over the next 10 years is reduce the def- additional wealth for those who, in eral Government’s share of the policy icit by another $1.2 billion with this fact, can afford to insure themselves. to insure nursery crops across three simple change limiting the Federal This is a very modest proposal. We counties in Florida, at a value of $57.7 subsidy and crop insurance to those could have had an amendment that million. wealthiest, largest farmers in America. said: If you make over $750,000, we In another example, an individual re- How can we ask Americans to share in shouldn’t be subsidizing any of your ceived over $1.6 million in premium any sacrifice, to cut spending, or re- crop insurance. We would still have a subsidies to insure corn, potatoes, duce the debt if we cannot summon the crop insurance program for this very sugar beets, and wheat across 24 coun- political will to ask the wealthiest well-off 4 percent had we done that. ties in 6 States. The total value of the farm operations to take such a modest What we said is that now is the time to crops insured: $23.5 million. cut in the Federal subsidy for crop in- start looking at that. We will look at it Back home in Illinois, a limited li- surance? again with the next farm bill, but cer- ability corporation received nearly $1 Mr. President, I yield the floor. tainly those who are so well-positioned million in premium subsidies from the The PRESIDING OFFICER. The to maximize profits from agriculture Federal Government to insure corn and clerk will report the pending business. don’t need a 62-percent subsidy to their soybeans grown in 17 counties across The legislative clerk read as follows: crop insurance. my State. The total value of the crop: A bill (S. 3240) to reauthorize agriculture This is a controversial amendment. $28.4 million. programs through 2017, and for other pur- We understand that. We know a lot of We are not describing small farms by poses. people are going to disagree with us. definition. Are you telling me that a The PRESIDING OFFICER. The Sen- But the point is this: At how much in- producer insuring a crop valued at $57.7 ator from Oklahoma. come should the average, hard-working million will stop participating in the Mr. COBURN. Mr. President, I wish American still be paying taxes to sup- Crop Insurance Program if the Federal to comment very clearly on what this plement your income? And that is real- Government only pays on average amendment does. ly the question. Should a factory work- about 50 percent of the premiums in- Farm and agricultural production in er making $45,000 a year continue to stead of the current 62 percent? I don’t this country is vital both to the coun- supplement somebody who is making think so. try and to our export markets. We have $10 or $12 or $15 million a year through Our amendment is simple and through the years tried many different a crop insurance program? straightforward. If you have an ad- approaches to make sure we have the So we are not taking it away. All we justed gross income on your farm at or stability and the production power in are saying is that this needs to be mod- above $750,000, your premium support this country for our needs and also to erated, and moderated in a manner will be reduced by 15 percentage points. many beneficial aspects of our foreign that won’t impact anybody except this A provision in the underlying bill in- policy where we use agricultural prod- top 4 percent. If we do that, what we creasing premium support for begin- ucts for that. will do is, as the Senator from Illinois ning farmers—taking care of the new Imagine if you are a business other said, start solving some of our budget. farmers and those with smaller farms— than agriculture and you have decided It is not a lot compared to what our sets a precedent for differentiating pre- that regardless of the mistakes you problems are, but the way you get out mium support based on need. So it isn’t might make or the uncontrolled vari- of trillion-dollar deficits is a billion a radical notion by any means. Our ables that might impact your business dollars at a time. amendment takes the same technical or the downturn in the economy, that What we are asking and what all of approach already accepted in the un- with 62 percent of government funding us are going to be asking over the next derlying bill. Further, the agriculture you can buy an insurance policy that 2 to 3 years of anybody in this country community is already very familiar guarantees you a profit. That is what is to sacrifice some. So what Senator with the use of adjusted income, as it this new farm bill has moved to. That DURBIN and I are doing is saying to the is already applied to title I programs. is going to be our agricultural program best, to the most efficient, to those

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00021 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.035 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3952 CONGRESSIONAL RECORD — SENATE June 12, 2012 who make the most money, we want sing. Yet today, on a smoggy day you view, but I have different points of you to start sacrificing now by lim- can see only 24 miles. view with the Senator from Minnesota, iting by 15 percent the subsidy that There are 546 Tennesseans who work the Senator from Arkansas, not to comes to you for this bill. I think it is today in coal mining in our State, ac- mention Senators from almost every- common sense. It is also fair. I would cording to the Energy Information Ad- place in the country. But I respect have gone further in a lot of areas, but ministration. Every single one of those those different points of view just as I I think we have an agreement that this jobs is important. This has been an im- respect Senator INHOFE’s different is something we should do, we can do, portant tradition in a few counties in point of view, and I hope he will re- and it will have no negative impact in East Tennessee. At the same time, spect mine. Here is my point of view: terms of our production of agriculture, there are 1,200 Tennesseans who work Ever since I have been in the Senate, I in terms of quantity or quality. at the Alstom plants in Knoxville and have introduced legislation to clean up Mr. President, I yield the floor. Chattanooga that will supply the coun- the air in Tennessee. Why have I done The PRESIDING OFFICER. The Sen- try with most of the pollution-control that? Because we don’t want the Great ator from Tennessee. equipment required by this rule. Every Smoggy Mountains, we want the Great Mr. ALEXANDER. Mr. President, one of those Tennesseans’ jobs is im- Smoky Mountains. We don’t want to over the last several years, first as portant too. Of the top five worst cities perpetually have three of the top five Governor of Tennessee and later as a for asthma in the United States, ac- asthma cities in the country. We don’t U.S. Senator, I have learned that cording to the Asthma and Allergy like health advisory warnings on our healthier air also means better jobs for Foundation of America, three are in streams so we can’t eat our fish. Tennesseans. That is why I intend to Tennessee. They are Memphis, Chat- We especially don’t want the Mem- vote to uphold a clean air rule that re- tanooga, and Knoxville. Only last year phis Chamber of Commerce to recruit quires utilities in other States to in- Nashville dropped out of the top 10 another big auto plant to the big Mem- stall the same pollution control equip- worst U.S. cities for asthma. Because phis megasite and then learn that they ment the Tennessee Valley Authority of the high levels of mercury, health can’t come here because the Memphis is already installing on coal-fired advisories warn against eating fish area has dirty air and the auto manu- power plants in the TVA region. caught in many of Tennessee’s facturer can’t get a necessary air per- TVA alone can’t clean up our air. streams. mit. It would be even worse if that Tennessee is bordered by more States According to the Mount Sinai School dirty air is blowing in from another than any other State. We are literally of Medicine, nationally mercury causes State. surrounded by our neighbors’ smoke- brain damage in more than 315,000 chil- So what this rule is about is requir- stacks. If we in Tennessee want more dren each year. It also contributes to ing our neighbors, and the rest of the Nissan and Volkswagen plants, we will mental retardation. Half of the man- country, to do the same thing we are have to stop dirty air from blowing made mercury in the United States already doing. If they don’t do it, we into Tennessee, and here is why. Back comes from coal-fired power plants. have no chance in the world to ever in 1980, I was Governor and Nissan This new rule requires removing 90 per- have clean air in Tennessee. Also, if we came to Tennessee. The first thing the cent of this mercury. The rule also con- don’t, we will have worse health and Nissan executives did was to go down trols 186 other hazardous pollutants, fewer jobs. Now as far as the 6 years goes, the to the State air quality board and including arsenic, acid gases, and toxic law gives States the right to add a apply for an air quality permit for metals. fourth year to the 3 years the utilities their paint emissions plant. If the air Utilities have known this was coming have to comply with the law. Today in the Nashville area had been so dirty since 1990 because these 187 pollutants, Federal law gives the President of the that Nissan couldn’t have gotten an air including mercury, are specifically United States the right to add 2 more identified in the 1990 amendments to quality permit for additional emis- years to that, so that is 6 years. In the the Clean Air Act as air pollutants sions, Nissan would have gone to Geor- law today the President and the States that need to be controlled by utilities. gia and we would not be able to say could make sure utilities have 6 years Now the Federal courts have added today that one-third of our manufac- to comply with this rule. I believe that their weight and ordered the Environ- turing jobs in Tennessee are auto jobs. makes sense. Every one of Tennessee’s major met- mental Protection Agency to control If I were the king and could wave a ropolitan areas is struggling today to these pollutants. magic wand, that is what I would do. An added benefit of the rule is that meet the standards that govern wheth- Why would I do that? Because we will the equipment installed to control er industries can acquire the air qual- be getting environmental benefits over ity permits they need to locate in our these hazardous pollutants will also the 6 years. So what will happen is State. capture fine particles, a major source utilities will assess their coal plants, I once asked the Sevierville Chamber of respiratory disease that is primarily decide which ones are too old or too ex- of Commerce leaders to name their top regulated under another part of the pensive to operate, decide within 3 priority. They said to me: Clean air. Clean Air Act. This new equipment will years to close those they will not con- Now, Sevierville is not necessarily a add a few dollars a month to residen- tinue to operate, and then they will hotbed of leftwing radicals. Sevier tial electric bills. The EPA estimates a have 6 years to spread the costs of im- County is the most Republican county 3-percent increase nationwide. But be- plementing the expensive pollution- in the State. It is nestled right up cause the Tennessee Valley Authority control equipment—most of it is called against the Great Smoky Mountains has already made a commitment to in- SCRs and scrubbers—on their coal-fired National Park. It is where Dolly stall these pollution controls, the cus- powerplants. Parton was born. I live in the next tomers of TVA will pay this rate in- Most of the utilities have suggested county, right up next to Great Smoky crease anyway—with the rule or with- this 6-year timeline as the single best Mountains National Park. out the rule. To reduce the costs, the way to clean the air and to do it in a East Tennesseans know that 9 mil- Senator from Arkansas, Senator way that has the least impact on elec- lion visitors come each year to see the PRYOR, and I will introduce legislation tric bills. Great Smoky Mountains, not to see the to allow utilities 6 years to comply So we will introduce our legislation Great Smoggy Mountains, and we want with the rule, which is a timeline many to give utility executives 6 years to im- those tourist dollars and the jobs they utilities have requested. Earlier today plement the rule, but we will also write bring to keep coming. Despite a lot of the Senator from Oklahoma, who is President Obama a letter and urge him progress, the Great Smokies is still one sponsoring a resolution to overturn the to grant the 6 years so utility execu- of the most polluted national parks in rule, referred to the legislation Senator tives can have that certainty. Some America. Standing on Clingman’s PRYOR and I offered as a cover amend- are saying this rule is anticoal. I say it Dome—our highest peak, about 6,643 ment and suggested in some way that is pro-coal in this sense because it feet—you should be able to see about it wasn’t a sincere effort. I greatly re- guarantees coal a future in our clean 100 miles through the natural blue haze spect the Senator from Oklahoma. energy mix. As I have said, the Ten- about which the Cherokees used to Sometimes we have different points of nessee Valley Authority has decided to

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00022 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.036 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3953 put the pollution control equipment it As I said, it started back in 1990, and through this process and as Senator needs to make coal clean on all of the a lot has changed since then. But one INHOFE’s resolution actually comes to coal plants it continues to operate. thing that has improved greatly since the Senate floor, but it creates a legal That doesn’t count carbon; that counts then is technology. These clean air problem. all of the hazardous pollution. It rules try to make these coal-fired pow- If it were to pass, what does the fu- counts sulfur, nitrogen, sulfur, mer- erplants 90 percent cleaner. They can ture hold? The law says if a resolution cury, and those sorts of things. now achieve that 90 percent reduction of disapproval passes, then the agency That means, long term, the TVA will from uncontrolled emissions of mer- cannot put forward a substantially be able to produce more than one-third cury and other pollutants because of similar regulation. of its electricity from clean coal. That technology. We have the ability to What does that mean in this cir- guarantees its future for the foresee- make this achievable today. I don’t cumstance? There is no legal precedent able future in our region, and this is know if that was true 20 years ago, but for that. Some argue if the resolution the largest public utility in the world. it is certainly true today. of disapproval passes, that is it, Katey The rest of our electricity in the Ten- I would like to visit with my col- bar the door; that this is no holds nessee Valley will come from even leagues for the next few minutes about barred, so to speak, when it comes to cleaner natural gas and from pollution- the plan Senator ALEXANDER has put oil and coal plants and what they can free nuclear power and hydropower. forward in which I heartily join him. It produce. Ever since Tennesseans elected me to is a three-step plan: I certainly hope that is not the case. the Senate, which was about 10 years First, vote no on Senator INHOFE’s I don’t know if that is the case, but ago, I have worked hard to clean up our resolution that we understand will legal experts disagree, and I don’t air. Tennesseans know that. Most of come up sometime in the next several think that is a chance we should take. them agree with me. They thank me days. There is no doubt that sending plumes for it when I go home on weekends. Second, consider voting for the legis- of mercury and particulate matters They do that because they know if I do lation that we are proposing and that and things such as sulfur dioxide, et not help clean up our air in Tennessee, we would like to move to the Senate cetera, creates serious health hazards and if I don’t stop dirty air from blow- floor within a reasonable amount of for children and adults. One can look ing into our State from other States time that would basically say all the at the statistics when it comes to heart who don’t have pollution controls on utility companies get 6 years to com- attacks or premature deaths, asthma, their coal plants, that it jeopardizes ply with these new rules. Again, these and all kinds of different ailments that our health and it jeopardizes our oppor- new rules that are now on the books human beings suffer. There is no doubt tunity to continue to be one of the Na- and have been on the books since Feb- that these coal-fired plants contribute tion’s leading States in attracting auto ruary have been 20 years in the mak- to that. jobs and in attracting tourists. ing. As we have seen, when we grand- I notice on the Senate floor the Sen- The third step we are proposing is a father these plants, they don’t, out of ator from Arkansas, Mr. PRYOR, and I letter to the President of the United the goodness of their hearts, do the thank him for his leadership on the States to urge him in the interim to things necessary to stop the polluting. issue and for his practical attitude. I give the additional 2 years, which he What they do is they keep running believe we have the same goals, which has the authority to do under the law. them because they are grandfathered. are, No. 1, clean the air but keep the He can do 2 years with an Executive That needs to stop at some point in the electric bills down at the lowest pos- order. future as well. I think our approach sible cost, and we believe we have the Let me just walk through those very helps in that way as well. most constructive proposal to do that. quickly. Some of the reasons I am I talked about the EPA being wrong We hope President Obama will agree going to vote no on Senator INHOFE’s and I talked about Senator INHOFE hav- with us. resolution of disapproval is because al- ing the wrong approach. The third First, we hope the Senate will agree though I believe the EPA is wrong in thing I would say is let’s extend it, not with us and uphold the rule; second, their timetable, I think 3 years is too end it. I think that by making clear we that the President will agree with us short. I don’t think that is enough want the full 6 years—the 3 years in and grant 6 years; and, third, if he does time. As Senator ALEXANDER said a few the statute, the 1 year in the State, the not, that the Congress will agree with moments ago, we can do the math that 2 years that the President has discre- us and pass a law giving utilities 6 is in the statute and in the regulations, tion on—I think that 6 years gives ev- years to spread out the costs. erybody ample time to plan, take care I thank the President. and it probably adds up to 6 years. I yield the floor. Let’s go ahead and be up front and give of business as they should, and make The PRESIDING OFFICER (Mr. them the 6 years. Six years will do it, sure we have electricity capacity in FRANKEN). The Senator from Arkansas. and that creates certainty. That means this country. Mr. PRYOR. Mr. President, I ask people can plan, that means people can I would say we need to stop the scare that I be given 10 minutes to speak as schedule equipment, and skilled labor- tactics about job loss and the sky is in morning business. ers can come from the United States falling and this is the end of the coal The PRESIDING OFFICER. Without and not outsourced from overseas, and industry in America. I completely dis- objection, it is so ordered. most of the equipment will be made in agree with that. I think the United Mr. PRYOR. Mr. President, I would the United States. That gives our util- States would be very smart to continue like to commend my colleague from ity companies time to do all of this. to use coal because we have something Tennessee and his leadership when it I think the EPA is wrong in the sense like 400 years worth of coal usage. We comes to clean air. He has a long his- that they are trying to force this over are kind of like the Saudi Arabia of tory for fighting for clean air in Ten- a 3-year period. I think 4 years is a coal. So I am not trying to hurt the nessee in this country, and we share minimum and 6 years is what we really coal industry. I am not trying to kill the common goal of maintaining a safe need. I think that just makes the most jobs or do anything like that. But I and reliable source of electricity, but sense under the circumstances. think if we look at the small cost—we also one that is safe for human health. With all due respect to Senator have to understand that these plants Cleaner air means better health for INHOFE, for whom I have a lot of re- are worth billions and billions of dol- Arkansans, for Tennesseans, and for spect, his resolution of disapproval is lars and we are talking about adding everyone in the entire country. This all wrong. I think it is the wrong ap- some costs to that. One estimate I saw started back in 1990 with some Clean proach. I think it is over the top. It re- is it is going to add about 3 percent. Air Act amendments signed by Presi- verses course and, basically, if I under- But if we look at the balancing of costs dent George H.W. Bush authorizing stand it, it allows the utility compa- of what we are trying to accomplish EPA to regulate air pollutant emis- nies to pollute at will. It actually cre- here versus the health costs in savings sions from powerplants. These regula- ates a legal problem that I am not sure we get, there is really no comparison. I tions have been two decades in the we adequately discussed on the Senate think it is fair to say that what the making. floor. I am sure we will as we go Alexander approach does is it actually

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00023 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.039 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3954 CONGRESSIONAL RECORD — SENATE June 12, 2012 saves kids’ lives. It is good for busi- mix, and then let’s allow utilities what chitis, 5,700 hospital emergency room ness. It is good for our environment. It they many of them have asked for, 6 visits, 540,000 missed work or sick days, is good for our people. years to implement the rule. Hopefully, and 3.2 million days when people must I think what we see here is a false our legislation will pass. Hopefully, restrict their activities. Mercury, they choice that some people are trying to just the mere introduction of it, par- say, causes brain damage in more than present. Some people say we have to be ticularly by those of us who support 315,000 children each year. Half of the either pro coal or pro health. That is a the rule, will persuade President U.S. manmade mercury comes from false choice. We can be both. We can be Obama that it would be a reasonable coal-fired powerplants. The new rules pro coal and have a good, robust coal Executive Order for him to make, to require removing 90 percent of that industry. If we were to open a maga- assure people across the country that mercury. zine here in Washington or the Wash- we will have no interruption in the re- So back to the point of Senator ington Post, oftentimes we will see a liability of our electricity and that we ALEXANDER. This approach provides full-page ad that talks about clean will have no great increase in costs in certainty. It ensures grid reliability. It coal. We turn on the television and most parts of the country. allows sufficient time for utilities to watch some of the news shows and the I agree with the Senator from Arkan- comply under this bad economy. It coal industry is advertising clean coal. sas when he said that coal needs to be gives manufacturing and skilled labor What are they talking about? This is a very important part of our future. jobs to U.S. companies and U.S. work- what they are talking about. They are This regulation will make coal in our ers, and it also reduces health problems talking about cleaning up these coal region an important part of our elec- and costs associated with the coal in- plants so we can still use this precious tricity production. If the TVA is the dustry right now. American resource, but we do it in biggest public utility in the country, With that, I ask my colleagues to such a way that we eliminate 90 per- and it is going to produce a third of its consider looking at the Alexander and cent of the pollution and the harmful electricity from coal with pollution- Pryor approach. I would love to visit particulates that are in coal—90 per- control equipment on the plants. That with any of my colleagues who are so cent. That is clean coal. That is what is clean coal. inclined. they are talking about. But the real holy grail of energy for With that, I yield the floor. So let’s do this, but let’s do it over a me is the scientist who discovers the The PRESIDING OFFICER. The Sen- 6-year period, not over a 3- or 4-year way to turn carbon from existing coal ator from Texas. period. Let’s not force ourselves into a plants into something commercially Mr. CORNYN. Mr. President, this false choice. Let’s do the right thing useful. It will probably be in energy. In morning during a hearing in front of for this generation and the generations the Department of Energy right now the Senate Judiciary Committee, the to come. they have an interesting experiment Attorney General appeared, and in an The PRESIDING OFFICER. The Sen- where they are applying a biologic exchange I had with him, it culminated ator from Tennessee. process—really, bugs—to electrodes, with my call upon him to resign his po- Mr. ALEXANDER. I wish to con- turning it into oil. Imagine what would sition as Attorney General. That is a gratulate the Senator from Arkansas happen if all the coal plants in our very serious matter. I wish to take a for his very clear explanation of what country could turn the carbon they few minutes to explain why, after long we are about here. The United States produce into other kinds of energy. deliberation, I have come to this con- produces 25 percent of all the wealth in Then, suddenly, we would have this 400- clusion. I do believe it is the right deci- the world every year. In order to do year supply of coal, and the carbon, as sion and it is long overdue. that, we use about 20 to 25 percent of well as all the other parts, would be I served as an attorney general of my all of the electricity in the world. We clean and we could use even more coal State—an elected attorney general, not need low-cost, reliable, large amounts than the one-third it is likely to rep- an appointed attorney general. I be- of clean electricity and we need for resent. lieve strongly the American people de- coal to have a secure part of the future I appreciate very much the leader- serve a chief law enforcement officer of our clean energy mix. ship of the Senator from Arkansas, his who will be independent of political in- I have said for years, we know what advocacy, and his clear statement of fluence, who will be accountable to the to do about sulfur, nitrogen, mercury, opinion. I wish to say to both our Re- law, and who will be transparent, par- and the hazardous pollutants. We have publican and Democratic colleagues, if ticularly in his dealings with the Con- the pollution control equipment to cap- you are looking for a way to have clean gress. Unfortunately, Attorney General ture all of those. We can make the coal coal, clean air, and do it at the lowest Holder has failed on all of these counts. clean, except for carbon, so let’s put possible cost to the taxpayer, let’s do At his confirmation hearing in 2009 in that over here on the side for a minute. what most of the utilities have asked front of the Judiciary Committee, Eric We can make the coal clean and we for and give them a timeline of 6 years Holder said his Department of Justice should do it. We should have done it in to implement the rule. The easiest way would ‘‘serve justice, not the fleeting a law over the last few years. We have to do it would be for the President to interests of any political party.’’ He had 15 Senators equally divided on both introduce the Executive Order, and also said he would seek to achieve a sides of the aisle trying to pass a law. each State to give the utility one more ‘‘full partnership with this Committee We couldn’t get it done so we defaulted year, because that authority is already and with Congress as a whole.’’ I wish to the EPA, so now they have had to do a part of the Federal law. he had kept his word. Regrettably, he the rule. But the Congress amended the The PRESIDING OFFICER. The Sen- has not. Clean Air Act in 1990 we told EPA to ator from Arkansas. In the past few weeks I have joined write this rule. In the law, it listed the Mr. PRYOR. Mr. President, I see the my colleagues on both sides of the aisle pollutants that have to be controlled. Senator from Texas is waiting so let in our shock at news articles that have In 2005, President Bush tried to write me conclude in the next couple of min- disclosed some of the most sensitive this rule but a Federal Court threw it utes. classified programs of our national se- out and in 2008 said to the EPA, you We talked about clean coal and why curity apparatus. These were report- have to do it, the way the law says to that is important. Let me tell my col- edly covert operations aimed at do it. So Congress has told them to do leagues what else is important. Based thwarting terrorist attacks as well as it, the courts have told them to do it, on the statistics, the health benefits defeating Iran’s nuclear aspirations. and now they have done it according to are between $37 billion and $90 billion. The leaks, according to the chair of the the law. If we don’t like the rule, we That is an estimate for 2016. For every Senate Intelligence Committee, Sen- have to change the law, which we are dollar we put in, we get up to $9 back ator FEINSTEIN—I am paraphrasing not doing with the resolution of dis- in health benefits. The new rules could here, but I believe she says these are approval. prevent up to 11,000 premature deaths, some of the worst she has seen in her The constructive thing we can do is 4,700 heart attacks, 130,000 asthma at- tenure on the Intelligence Committee. let the rule go forward. Let’s have tacks, 140,000 cases of respiratory Others have suggested these are some clean coal be a part of our clean energy symptoms, over 9,000 cases of bron- of the most damaging potential leaks

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00024 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.041 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3955 in our history—certainly recent his- had recused itself from an ongoing leak watch, the Department of Justice or- tory. investigation. We don’t know the de- dered the transfer of more than 2,000 According to the very stories that re- tails of that, but he did concede that high-caliber firearms to some of the ported these programs, the sources his own National Security Division at most dangerous drug cartels operating come from the highest reaches of the the Department of Justice—some mem- in Mexico. The Attorney General dis- executive branch of our government; bers of that division had already ingenuously tried to confuse this with namely, the White House. As Demo- recused themselves. an operation known as Wide Receiver, crats and Republicans have both made These leaks in the New York Times— which was done in consultation with clear, the unauthorized release of clas- I am talking specifically about the the Mexican Government and where sified information is a crime—it is a drone program and about the cyber at- the point was not to let the guns walk crime—because it threatens our na- tacks on Iran’s nuclear capability— without surveillance but to track tional security and puts the lives of quoted senior administration officials them. It was ended when it became those who are sworn to defend our Na- and quoted members of the President’s very difficult to track them and thus tion in jeopardy. As many have has- national security team. gave rise to the operation known as tened to point out, it also jeopardizes Now, that is not a large number of Fast and Furious, which had an alto- the cooperation of our allies. Who people to question or to identify. In gether different mode of operation. would be motivated to be a source of fact, that is the very source given in Instead of tracking these firearms classified, highly sensitive information these stories that reported the leaks— and arresting cartel agents trafficking that would be provided to our intel- ‘‘senior administration officials’’ and them, under Operation Fast and Furi- ligence community if they knew they ‘‘members of the president’s national ous, Department of Justice officials or- were likely to be on the front page of security team.’’ dered law enforcement agents to break the Washington Post or The New York This is the same story that said that off direct surveillance and to allow Times? on the President’s so-called kill list these guns to ‘‘walk’’—apparently The news articles containing the that he personally goes over with his under the mistaken belief that they leaked information paint the President national security team identifying tar- could somehow find them at a later in a flattering light. The concern is gets of drone attacks, that also David time and, through alternative means of that they appear just as his reelection Axelrod, his chief political adviser, sat surveillance, discover the nature of the campaign is getting into full swing. in, apparently, on at least one, maybe organization and the distribution of Let me be clear. These facts raise le- more meetings. these guns and help them bring down gitimate concerns about the motives But instead of an independent pros- some of these cartels. Unfortunately, behind what everyone agrees is crimi- ecutor, Attorney General Holder has and quite predictably, the weapons nal conduct. That is why it is so impor- chosen to appoint two U.S. attorneys from this flawed operation have been tant to have an investigation of these who are in his chain of command and used to commit numerous violent leaks that is independent, nonpartisan, who will report to him and who are di- crimes on both sides of the southern and thorough. Unfortunately, Attorney rectly under his personal supervision. border, including the murder of Border General Holder has demonstrated, at One of those is U.S. attorney for the Patrol Agent Brian Terry in December least to me, that he is incapable of de- District of Columbia Ronald Machen, 2010. livering that kind of investigation. who volunteered on the Obama cam- Far from being apologetic, Attorney Just hours before Senator MCCAIN paign in 2008 and who has given thou- General Holder’s conduct during the and Senator CHAMBLISS called for a sands of dollars to the President’s po- congressional investigation into this special prosecutor or, in the parlance litical campaigns over the years. I do flawed program has been nothing short of the statute now, a special counsel, not have any issue with that. That is of misleading and obstructionist, hav- Holder’s Deputy Attorney General Jim his right as an American citizen. But it ing complete disregard for Congress’s Cole told me he didn’t think an inde- does raise legitimate questions about independent constitutional responsi- pendent investigation was warranted his ability to be independent and con- bility to conduct oversight and inves- because the leaks didn’t come from the duct the kind of investigation I am tigations of the Department of Justice White House or this administration. talking about. Oh, by the way, Mr. and other Federal agencies. Amazingly, he hadn’t, apparently, done Machen also got his start as a Federal For example, Attorney General Hold- an investigation before he reached that prosecutor when he went to work for er has stonewalled the investigation, conclusion. Attorney General Holder U.S. Attorney General Eric Holder. turning over less than 10 percent of the apparently takes the same view. He has That is not an independent investiga- documents subpoenaed by a congres- already decided who is not to blame, tion—that is the point—and it helps to sional committee. and he has excluded the administration demonstrate why it is that Attorney Attorney General Holder’s Depart- and the White House and the reported General Holder has a conflict of inter- ment misled Congress in a February sources of the information—although est himself that requires the appoint- 2011 letter where they claimed that Op- not named, they were named by cat- ment of a special counsel, not the ap- eration Fast and Furious did not even egory—he has already written them off pointment of two U.S. attorneys who exist—there was no program to allow and suggested that they could not pos- are directly responsible to him and guns to walk into the hands of the car- sibly be the source of any of these through whom he can control the flow tels and to lose direct surveillance of leaks. of information to Congress and others. them. We now know that is false but I looked into the special counsel law Reasonable people will wonder, where only because Lanny Breuer, 9 months which says that a special prosecutor is does the Attorney General’s loyalty later, in November 2011, came before called for when an investigation would lie—to the President of the United the Senate Judiciary Committee and present a conflict of interest for the States to try to help him get reelected said: You know, that letter we wrote in Justice Department. or his duty to enforce the laws of the February 2011 saying there was not any I concede the Attorney General has a U.S. Government? gun-walking program known as Fast very tough job. He is a member of the This would be troubling enough to and Furious—that was false. That was President’s Cabinet, but he has a spe- me if this were an isolated event, but not true. cial and independent responsibility as what has brought me to this serious So for all that period of time, Attor- the chief law enforcement officer of the conclusion that Attorney General ney General Holder and his Depart- country and he can’t be confused about Holder should, in fact, resign goes back ment misled Congress by claiming those roles. There have been some re- much further because this is only a falsely that Fast and Furious did not ports that some of these leaks may symptom of the Department of Jus- exist. have even emanated from the Justice tice’s complete lack of accountability, Then, in addition, Attorney General Department itself. In fact, this morn- independence, and transparency. Holder misled Representative ISSA, ing, the Attorney General acknowl- Take the tragedy known as Oper- who has led the investigation in the edged that some of the Department of ation Fast and Furious. And we know, House of Representatives, by testifying Justice’s National Security Division under Attorney General Holder’s that he only learned of Operation Fast

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00025 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.042 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3956 CONGRESSIONAL RECORD — SENATE June 12, 2012 and Furious ‘‘over the last few weeks.’’ Perhaps worst of all has been the tion and passed it overwhelmingly, That was in May 2011. He said he only lack of accountability, starting at the something called the MOVE Act. It is a learned about it in ‘‘the last few top. In the last 16 months since Oper- military voting act. But after its pas- weeks.’’ Brian Terry was murdered in ation Fast and Furious was uncovered, sage, which was designed to make it December 2010, yet Eric Holder said he Eric Holder has not fired a single per- easier for troops who are deployed only learned in ‘‘the last few weeks’’ son in his Department for supplying abroad or civilians deployed abroad to about Operation Fast and Furious, and 2,000 high-caliber firearms to drug car- cast a ballot in U.S. elections, the At- that was in May 2011. We now know tels in Mexico. That is really aston- torney General failed to adequately en- that is false. ishing. I have to ask, if no one has been force this legislation, which was de- Attorney General Holder also misled held accountable, what does it take to signed to guarantee our Active-Duty the public at a September 2011 press get fired at the Holder Justice Depart- military and their families the right to conference by claiming that Operation ment? vote. If Mr. Holder had spent as much Fast and Furious did not reach into the Attorney General Holder’s litany of time and effort enforcing this law as he upper levels of the Justice Department. failure does not end there, again, put- recently spent attempting to get con- We now know that is false. I personally ting politics ahead of his job as the victed felons and illegal aliens back on reviewed some of the wiretaps that chief law enforcement officer of the the voter rolls in Florida, thousands of were produced as a result of a whistle- country and, indeed, putting what ap- military voters might have gotten blower through the House inves- pears to be a political agenda ahead of their ballots on time rather than be tigating committee, and it makes clear the law. disenfranchised in 2010. that the rationale for securing a wire- For example—another example—At- These are not the only duly enacted tap was because they did not expect to torney General Holder has targeted laws the Attorney General has failed to be able to keep track of the weapons commonsense voter ID legislation enforce in order to carry out the polit- directly by direct surveillance, describ- passed by the Texas Legislature and ical agenda that apparently he believes ing, in essence, the tactics of Operation the South Carolina Legislature, which is more important. Fast and Furious. Those required the the Supreme Court of the United The Attorney General has announced authorization of high-level Department States has overwhelmingly upheld the he will refuse to defend the bipartisan of Justice employees, including those constitutionality of since 2008. So here Defense of Marriage Act that was in Lanny Breuer’s office. Again, Attor- is the Texas Legislature, the South signed by President Bill Clinton, de- ney General Holder and his staff misled Carolina Legislature—and others per- spite the fact that has been the law of the public, claiming Operation Fast haps sitting in the wings—trying to the land for more than 15 years. It is, and Furious was unknown at the upper take steps to protect the integrity of in fact, the duty of the Department of reaches of the Justice Department. the vote of qualified voters in their Attorney General Holder misled the Justice to defend laws passed by Con- State. And who is the chief obstruc- Senate Judiciary Committee last No- gress that are lawful and constitu- tionist to that goal? It is the Attorney vember by testifying that he did not tional. Yet he refuses to even do so, General and the Department of Justice. believe that these wiretap applications and the litany goes on. So now we find ourselves—my State, approved by senior deputies included In addition to using the Justice De- detailed discussion of gunwalking. As I South Carolina, and others find them- partment as a political arm of the said, we know that to be false. I read selves in litigation asking the courts to Obama campaign, he has also moved them with my own eyes yesterday, al- do what the Attorney General will not the Department in a dangerously ideo- though they remain under seal. And and acknowledge that the Supreme logical direction in the war on terror. Attorney General Holder has refused to Court decision in 2008 is the law of the Attorney General Holder has failed to take any step to ask the court to mod- land. grasp the most important lesson of 9/11 These voter identification laws are ify that seal so we can then review and the 9/11 Commission, that there is designed to require citizens to produce those and compare his story with what a difference between criminal law en- is revealed in the affidavits. So as long a valid photo identification. If you do forcement for violating crimes and the as these documents remain under seal, not have a valid photo identification, laws of war that are destined to get ac- we are left with the ‘‘he said, she said’’ you can get one for free. In my State, tionable intelligence and prevent at- that he could resolve if he would agree you can show up without any ID and tacks against the American people, not to go to the court and ask that they be vote provisionally as long as you come just punish them once they have oc- unsealed for purposes of the congres- back within a period of time and curred, which is the function of the sional investigation. produce one. So it is no impediment to criminal law. Then, when there were reports of participation in votes. You know what. His actions have demonstrated that gunwalking operations in Houston, TX, The American people are accustomed he believes terrorism is a traditional at a sports dealer known as Carter’s to presenting a photo ID because every law enforcement problem warranting Country, I asked Attorney General time you get on an airplane, every the same old traditional law enforce- Holder whether there were gunwalking time you want to buy a pack of ciga- ment solutions. But they, by defini- operations in my State. When you had rettes or a beer, you have to, if you are tion, occur after the fact, after inno- a legitimate seller of firearms say: of a certain age, produce a photo ID to cent people have been murdered, rather Hey, I think there is something sus- prove you are of a certain age. But Mr. than designed to prevent those attacks. picious going on, you have people mak- Holder has been so outrageous as to For example, Attorney General Hold- ing bulk purchases of firearms, and I compare these voter ID laws to Jim er attempted to hold trials for master am worried they may be going to the Crow poll taxes—it is outrageous—a minds of the 9/11 attack, such as Khalid cartels or other sources, they were charge that is defamatory and an in- Sheikh Mohammed, in civilian court in told: Do not do anything about it. Let sult to the people of my State and any- Manhattan. He wanted to do so in spite them go. one with common sense. You know of the outcry of local communities and But when I asked Attorney General what. You have to show a photo ID to the fact that civilian trials would give Holder to confirm or deny that there get into Eric Holder’s office building in terrorists legal protections they are was an Operation Fast and Furious Washington, DC. Yet it is discrimina- not entitled to under our Constitution look-alike or that Fast and Furious tory somehow? It discourages qualified and laws and which they do not de- itself was operating in my State, again, voters from casting their ballot? It is serve. I got no reply. ridiculous. While Attorney General Attorney General Holder attempted I have no idea what else the Attorney Holder is blocking State efforts to pre- to transfer terrorists from Guanta- General and his Department are con- vent voter fraud, he neglects the voting namo Bay Cuba to prisons in the cealing from the American people or, rights of the men and women in uni- United States over the repeated objec- more importantly, the Brian Terry form who serve in our country’s Armed tion of local communities and the Con- family, who deserve to know what hap- Forces. gress. pened and how this operation went ter- In 2010—actually before that—on a What is more, when Federal agents ribly awry. bipartisan basis, we introduced legisla- detained, thankfully, the Christmas

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00026 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.043 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3957 Day Bomber in Chicago who was trying ly and to pass a meaningful transpor- by each additional day of delay. The to blow up an airplane with a bomb he tation bill. On March 14, the Senate longer it takes for the Congress to pass had smuggled and that was passed the Moving Ahead for Progress a transportation bill, the longer it undetectable to law enforcement in the 21st Century Act by a strong bi- takes projects to be completed, the agents, he insisted that instead of partisan vote of 74 to 22. more expensive they become to tax- being treated as a terrorist, an enemy Later that month, I came to the floor payers. That stands to reason. Anyone combatant, he be read his Miranda of the Senate to highlight the impor- who has built an addition on their rights. That is right. Attorney General tance of the passage of our surface house understands that—delay, delay, Holder insisted this terrorist be told: transportation bill. Since then, the delay. You have the right to remain silent. American people have been waiting for That is a waste of taxpayers’ money. You have the right to a lawyer. This is the House of Representatives to act on That is why we have to get this bill the sort of muddled thinking that I their version of a transportation bill. done. State Departments of Transpor- think has created such potential for Three months to the week after the tation, contractors, construction work- harm, treating a war and terrorists as Senate passed our Transportation bill ers, engineering firms, and other indus- if they were conventional criminals on a 74-to-22 bipartisan vote, with the tries need certainty to move forward who ought to be handled through our Nation continuing to wait for action with the bill. These are private sector civilian courts. and the June 30 deadline to renew or jobs, private sector jobs that await the While Attorney General Holder was extend the transportation program passage of this bill. They should not worrying about the rights of people coming closer and closer, the leaders of have to wait any longer for the House such as the Christmas Day Bomber, he the House of Representatives have an- of Representatives to act. was targeting some of the very Ameri- nounced not a short-term extension Take, for example, Caterpillar. That cans who risked their lives to keep but they have announced their interest might not be the first company we America safe. In fact, he appointed a in a longer term extension to the end would think of when we think about special prosecutor—he thought this of 2012. the Transportation bill. Everyone sees was sufficient to appoint a special pros- I suppose the good news is that the Caterpillar tractors, Caterpillar ecutor, not to investigate these classi- means we have some interest in mov- trucks throughout the rural areas. This fied leaks but to investigate U.S. intel- ing forward with transportation. But business employs 750 people at its road- ligence officials in conducting their du- that is not good enough for the people paving equipment manufacturing facil- ties—he appointed a special prosecutor of this country. In Minnesota, as you ity in Minnesota. I have been there. to investigate CIA interrogators during know, the construction season has They gave me a pink Caterpillar hat. I the prior administration, men and per- begun, and because of our cold winters, spoke to all their employees. They are haps women who did what they did we do not always have a long construc- people on the frontlines of American based on legal advice from the Depart- tion season. This kind of delay, where industry helping to create the real ment of Justice and based on the belief we have a very good bipartisan bill ‘‘Made in America’’ product that keeps that what they were doing was impor- which includes $700 million in con- jobs in our country and puts dollars in tant to the safety and security of U.S. struction projects for our State of Min- our economy. citizens, and I think they were right. nesota, this kind of delay can be crip- They are ready to get to work. They Attorney General Holder has also pling. We have a much smaller window are ready to get to work improving our seen fit to release top secret memos de- of time in which we can complete much Nation’s roads, our bridges, our tun- tailing interrogation methods, infor- needed projects for easing congestion nels, and our highways. I ask the House mation which, of course, quickly found and improving safety. of Representatives: Why are we making its way into the hands of America’s en- These projects will help get com- these workers wait? They are ready to emies and which they could use to muters out of traffic and moving in the get these paving projects done. They train to resist our intelligence-gath- Twin Cities; projects to help ensure are ready to help the commuters in our ering efforts. that farmers and food producers across State to get to work faster. They want Attorney General Holder’s failure to greater Minnesota can transport their to get going. There is no reason to grasp the most important lesson of the supplies at the right time to the right delay getting this bill done. last decade, that we are at war against place to ensure that we continue to For decades, passing a transportation al-Qaida, demonstrates more than just have a safe and reliable food supply. bill was considered one of the most a willingness to carry a political agen- Think about the projects in Min- basic noncontroversial duties of the da for this administration. It is a sad nesota that need to be completed: Congress, and we have an opportunity result of an ideological blindness to the Highway 52 in Rochester. Highway 52, a to come together to find commonsense law. It has moved the Department of long-time problem in terms of deaths, solutions to move America forward. We Justice, and unfortunately this coun- in terms of traffic accidents, still an cannot afford to keep the engine of our try, in a dangerous direction. area where people get killed; U.S. High- economy idling by limiting our talk to I would continue on with examples of way 14 in southern Minnesota, con- yet another extension of the surface Eric Holder’s litany of failure, but I be- tinuing to wait for that to be com- transportation program. The Senate lieve the case is clear-cut. The Amer- pleted; 101 in the western metropolitan Transportation bill is fully paid for and ican people deserve an Attorney Gen- area, a little girl was just killed walk- will allow States to move forward to eral who is independent of politics, who ing her bike, getting on her bike going make the critical infrastructure in- is accountable to the oversight of Con- across that Highway 101—killed; High- vestments in our Nation’s roads and gress, and who is transparent. Mr. way 94 out by Rogers, a bottleneck all our bridges and in our transit systems. Holder has proven that he is none of the time. I have been in it several In addition, the bill makes critical these things. It is with regret, not with times myself; 23 in Marshall needs to reforms to transportation policy. Just anger but with regret and sadness I say get done. There is a major company last week, the Centers for Disease Con- it is time for him to resign. out there, Schwan’s, but we have a trol and Prevention released a report I yield the floor. highway that is not able to carry the announcing that 58 percent of high The PRESIDING OFFICER. The Sen- food and the goods to market that it school seniors had texted or e-mailed ator from Minnesota. should because that construction has while driving in the previous month— Ms. KLOBUCHAR. Mr. President, I not been done; roads from Moorhead to 58 percent of kids out there on the road ask unanimous consent to speak as in the Iron Range, to Duluth, all that while we are all driving—we have to re- morning business for up to 10 minutes. needs to be completed. member that 58 percent—nearly 60 per- The PRESIDING OFFICER. Without That is why it is not good enough to cent of the kids out on the road are objection, it is so ordered. hear the House of Representatives talk doing a text, are doing an e-mail while Ms. KLOBUCHAR. Mr. President, I about a simple extension when we have they are driving. That is not accept- rise to stress the critical infrastructure a strong bipartisan transportation bill able. needs across our Nation and to urge the that came out of the Senate. We also The bipartisan Transportation bill House of Representatives to act quick- need to be aware of the costs incurred includes provisions that I worked on to

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00027 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.045 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3958 CONGRESSIONAL RECORD — SENATE June 12, 2012 help prevent texting while driving and that actually puts the money out there The PRESIDING OFFICER. Without implement graduated license stand- that we need to build our bridges and objection, it is so ordered. ards. The bill gives State departments build our roads? It is simply time to Mr. BROWN of Massachusetts. of transportation increased flexibility act. Madam President, I ask unanimous so they can address these unique needs. I yield the floor. consent to speak as in morning busi- The Senate-passed surface transpor- The PRESIDING OFFICER (Mrs. ness for up to 10 minutes. tation bill also reduces the number of SHAHEEN). The Senator from Florida. The PRESIDING OFFICER. Without highway programs from over 100 down Mr. NELSON of Florida. Madam objection, it is so ordered. to 30. By saying they are not going to President, I ask unanimous consent Mr. BROWN of Massachusetts. pass this bill in the House, they stop us that the period for debate only on S. Madam President, I rise to speak about from getting rid of those kinds of du- 3240 be extended until 5 p.m., and that the Violence Against Women Act, or plication. It defines clear national the majority leader be recognized at VAWA, which is a landmark piece of goals for our transportation policy. It that time. legislation, one that I believe has saved streamlines environmental permitting. The PRESIDING OFFICER. Without many lives and brought us together as Why would they want to stop that? objection, it is so ordered. Americans in standing up for what we Why would they want to stop us from Mr. NELSON of Florida. Madam believe is right. With this law, we have streamlining environmental permit- President, as I was heading to the Cap- said that the United States takes do- ting? But that is what they are doing itol today, I could not help but think mestic violence very seriously and we by saying they want a simple exten- about the jolting news from my State are taking a moral stance against it sion. that the U.S. Department of Justice now. The bill expands the Transportation will have to sue my State of Florida In April of this year, I was proud to Infrastructure Finance and Innovation over its purge of the voting rolls. join a strong bipartisan group of Sen- Program. The Minnesota Department Being a native Floridian whose fam- ators in passing S. 1925, the Leahy- of Transportation has successfully used ily came to Florida 183 years ago, and Crapo Violence Against Women Act re- the program in the past and it will con- having the great privilege of serving authorization. Sixty-eight Senators tinue to be a key element of our the people of my State for a number of from this Chamber supported the bill. State’s and other State’s transpor- years, it is simply hard for me to con- Many of us were moved by the per- tation networks in the future. The fact ceive that the State of Florida is try- sonal stories coming out of our States is, we have neglected the roads and ing to deliberately make it more dif- about the critical impact of VAWA in bridges that millions of Americans rely ficult for lawful citizens to vote. local communities. In Massachusetts, I on for too long. But the Governor did sign a new law was inspired by the work of organiza- No one knows that better than we that the legislature passed over a year tions such as Jane Doe, Inc., the North know it in our State where that I–35W ago to reduce early voting days, to Shore Rape Crisis Center, the YWCA of bridge tragically collapsed in the mid- make it more difficult to vote if you Central Massachusetts, and REACH Be- dle of a summer day, something no one move to another county, to blunt reg- yond Abuse, to name a few, and there could ever expect would have happened. istration drives, and to eliminate the are many more. In March of this year, It is not just a bridge. It is an eight- Sunday before the Tuesday election in I visited service providers in central lane highway 6 blocks from my house. early voting. And then Governor Scott Massachusetts that receive VAWA If that can happen there, it can happen launched his massive purge of the vot- funding and learned a great deal more anywhere in America. ing rolls, hunting for suspected non- about how VAWA is changing lives for We simply cannot wait and delay any citizens. the better. longer when we have a bipartisan bill In so doing, he is now defying Federal New problems are plaguing our com- with 74 Senators who voted for it. authorities, who point to Federal law munities, and as times change govern- There is absolutely no excuse for the and say you cannot conduct a purge of ment must adapt as well if it is going House of Representatives not taking voter rolls so close to an election. We to make a difference in people’s lives. this up. If we want to know if there are are 2 months away from a primary Fortunately, the Senate bill includes other bridges with problems, look at election in the middle of August. We many improvements that have been de- this. The number from the Federal are a little over 4 months away from veloped over time with various non- Highway Administration shows that the general election. Yet the Governor profits in law enforcement agencies over 25 percent of the Nation’s 600,000 and his administration end up doing and individuals who deal with these bridges are either structurally defi- this. What they ought to do is ensure challenges each and every day. I am cient or functionally obsolete. the credibility of our voter rolls, not very proud to be a cosponsor of what is For further proof, we need look no suppress citizens from voting under the clearly a good, thoughtful bill. further than the 2009 Report Card for fiction of some perceived fraud. Unfortunately, following the bipar- America’s Infrastructure, released by But above all else, the State of Flor- tisan Senate action, the House passed a the American Society of Civil Engi- ida must ensure that every lawful cit- dramatically scaled-back version of the neers. It gave our Nation’s Infrastruc- izen who has the right to vote can do so VAWA legislation that did not include ture a near failing grade. But crum- without hindrance and impediment. core provisions that would improve the bling infrastructure does not just It was quite a while ago, but some- law. It seems that rather than work threaten public safety; it also weakens thing Dr. King once said about voting through some of these problems, the our economy. Congestion and ineffi- rights seems very appropriate again. House was content to pass a bill that ciencies in our transportation network Dr. King said: didn’t address a number of growing limit our ability to get goods to mar- The denial of this sacred right is a tragic problems facing individuals today. ket. They exacerbate the divide be- betrayal of the highest mandates of our That is not how we legislate or how we tween urban and rural America, they democratic traditions. It is democracy should be legislating. We need to pass a constrain economic development and turned upside down. bipartisan, bicameral bill that the competitiveness, and they reduce pro- I hope the Governor of Florida will President will sign. ductivity as workers idle in traffic. heed those words. Because the House took up a bill that Americans spend a collective 4.2 bil- I yield the floor and suggest the ab- didn’t go far enough, the House bill lion hours a year stuck in traffic—4.2 sence of a quorum. passed largely along party lines, as billion hours a year, at the cost to the The PRESIDING OFFICER. The compared to the bipartisan Senate bill economy of $78.2 billion or $710 per mo- clerk will call the roll. we passed a short time ago. Now, once torist. So I ask the House of Represent- The bill clerk proceeded to call the again, the House and Senate are at an atives: How can you look at those num- roll. impasse. bers and decide not to move forward Mr. BROWN of Massachusetts. As someone who has personally expe- with a bill that streamlines our pro- Madam President, I ask unanimous rienced domestic violence up close and grams, that actually makes some consent that the order for the quorum seen its effect on families, including smart decisions in terms of reform, and call be rescinded. mine, this is completely unacceptable.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00028 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.046 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3959 The vast majority of the bill is broadly Like so many other things in our sponsible for the things States are re- supported by both sides of the aisle. It economy, the more certainty we can sponsible for, and we should do the is beyond frustrating that the House create for farming families, for agri- things we do at the Federal level the has become distracted by a tiny per- businesses, the more likely they are to best they can possibly be done, starting centage of the bill that has caused make decisions now and to make deci- with defending the country. gridlock. Even worse, it seems that sions that create good results. The We are looking at some reduction in some are willing to allow procedural more things we know in advance, nor- defense spending that, if it happens, technicalities to block the way for- mally, in decisionmaking, the more will not only negatively impact our ward. I have to tell you that this things there are to know. ability to defend the country, if we makes no sense to me, at a time when There is plenty people don’t know in don’t do those reductions exactly right, people’s lives are potentially at stake. agriculture. My mom and dad were it will also have real impact on the This bill should be done already. dairy farmers, and there is a lot that economy. Women in Massachusetts and through- can go wrong on the farm. People don’t The stimulus didn’t create the jobs. out the country—survivors of vio- know how many things there might The labor force participation rates are lence—deserve better, and we should be—weather and lots of other things at a 30-year low. Middle-class incomes provide that leadership immediately. that they can’t count on. It would be have dropped $4,350 in the last 3 years. Today I am calling on the House and nice to have a farm bill that people The private sector is not doing well, Senate leadership and the committees could count on. nor is the economy doing well. The of jurisdiction to listen to the calls I know the bill we pass here will only number of long-term unemployed has from millions of Americans and come be half of the work of getting that bill doubled to 5.5 million since the Presi- together and pass a bill that addresses passed, but we need to do that and we dent took office. Housing prices con- critical needs in our communities and need to get our economy going again. tinue to decline. the citizens of those communities. All Like so many others, I disagree with Many of the economic forecasters, in- sides need to come together and work the President’s sense that the private cluding the Congressional Budget Of- through the small amount of difference sector is fine because the private sector fice, project that economic growth they have. As I have said before, in my is not fine. The economy is not fine. As downgrades and skepticism toward the experience, when people of good will I have said on this floor many times in recovery will continue. The Congres- work together and do one good deed, it the last 2 years, private sector job cre- sional Budget Office recently released begets other good deeds, and so on. We ation should be the No. 1 priority do- a dismal long-term budget outlook can get together in a room and work mestically of the government today: showing that the country’s Federal through these challenges and come up What can we do to create more private debt per person is on track to triple in with solutions. I frequently hear from sector jobs. a generation. That track has to stop. many colleagues that this is the way Two years ago, the administration We can make the decision: Do we want things used to be done around here. I and the White House kicked off the Re- to be Europe? Do we want to be yearn and work every single day I am covery Summer. They said the success Greece? Do we want to be Italy? Do we here to get back to that way of biparti- of the $831 billion stimulus plan had want to be Ireland or Portugal or sanship and spirit of working together. done its job. Secretary Geithner Spain? All we have to do is pick up a I hope we can get some of that bipar- penned an op-ed in the New York paper any day of the week now to know tisan, bicameral spirit back and pass Times that said: Welcome to the Re- surely that is not who we want to be. the Violence Against Women Act reau- covery. But today we still see unem- Or do we want to get our government thorization. ployment higher than it should be, the rightsized for our economy? Do we In closing, we need to start to look unemployment rate at 8.2 percent. want to get back to where we don’t let out for the people’s interests, not our If we were looking at the same work- our economy be overwhelmed by the political and personal interests or the force we had 30 years ago—and we government? parties’ interests but the interests of know the population has gotten bigger, What has happened in so many of the the people. We need bridge builders in so logically the workforce has gotten countries I just mentioned and others this Chamber to get this bill across the bigger too. If we were looking at a in Europe is that they have let the gov- finish line and on the President’s desk. workforce that was reflective of the ernment get bigger than the economy The challenges we face in reauthorizing workforce in January 2009, unemploy- can support. the Violence Against Women Act are ment would be 11.1 percent today. It is The CBO talked about what would not insurmountable; far from it. We 8.2 percent because we are considering happen if we don’t take this action be- know that. I am confident if the House a workforce that is smaller. The num- tween now and early next year: If we and Senate leadership come together ber of people who are actively out let taxes go back up, if we let defense and work out our differences, we can there considering themselves either in spending go in the direction that it ap- pass a bill we can all be proud of and the workforce or wanting to be in the pears to be heading, what happens send it to the President’s desk and save workforce is lower than any time in then? lives. the last 30 years. Even President Clinton and former Let’s put politics aside and focus on Certainly, the Recovery Summer domestic adviser to then-Secretary of solving problems. Remember, we are didn’t work. The rhetoric was high, but the Treasury Summers said we need to not just Democrats, Republicans, or the economy didn’t grow as we would continue current tax policies for some Independents, we are Americans first. have hoped it would. The creation of time in the future. I remember at the We need to start to work in that vein jobs didn’t occur. GDP, the gross do- end of 2010, the President said: Now is to get things done. mestic product, grew at 1.7 percent in not the time to discourage jobs. Well, I yield the floor and suggest the ab- 2011, and it is still below 2 percent—1.9 exactly when would be the time to dis- sence of a quorum. The PRESIDING OFFICER. The percent—in 2012. Only 77,000 jobs were courage jobs? The job of the Federal Government clerk will call the roll. created in April, and only 69,000 jobs The bill clerk proceeded to call the were created in May. domestically should be to figure out roll. We are just not doing the job here. what we can do to encourage jobs be- Mr. BLUNT. Madam President, I ask The stimulus didn’t work. Part of the cause with only the rarest of rare occa- unanimous consent that the order for stimulus was to try to help States off- sions the Federal Government, with the quorum call be rescinded. set the shortages they had. But to few exceptions, doesn’t create jobs. The The PRESIDING OFFICER. Without some extent all that did was postpone Federal Government, however, has a objection, it is so ordered. for another year or maybe even 2 years lot to say about the environment in Mr. BLUNT. Madam President, I States having to make decisions that which people make that decision as to know this week we are talking about, only States should make. The Federal whether they are going to create a job. among other things, the Agriculture Government has enough things to run With constant discussion of energy bill, and I am supportive of moving for- without trying to run everything. The policies that don’t make sense and too ward with that bill. Federal Government shouldn’t be re- much regulation and raising taxes and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00029 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.047 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3960 CONGRESSIONAL RECORD — SENATE June 12, 2012 health care costs that are unknown for homa. The biggest threat to the future This amendment will ensure that the every job that is added, people just of farmers is burdensome and costly EPA keeps its word and fully evaluates don’t add those jobs. regulations. a current storm water regulatory situ- So whether it is the agriculture econ- I have three amendments. The ation—what practices work and what omy—which, again, I will say, even amendments I am proposing will pro- don’t work, what the costs are and though the unemployment there is vide significant regulatory relief for what the benefits are—before barreling twice as high as government sector un- farmers struggling in a tough economy. ahead with new uncertain regulations. employment, the agriculture economy There is virtually no history of oil- In EPA’s current storm water regula- is almost twice as high as the 4.2 per- spills from agricultural operations, and tions, they committed to complete an cent of government sector unemploy- farms simply do not pose the risk of evaluation of the current rule. This ment. It is still a bright spot in the the spills other sectors do. Starting amendment simply stops the EPA from current economy. But that economy next year, farmers who have oil and issuing any new regulations until they will be better if we give people more of gas tanks—that is all of them. They all comply with the rules. In other words, a chance to plan. have oil and gas tanks on their farms. they have said they would do this. This The Recovery Summer didn’t work. They are located in different areas, but stops them from invoking a regulation We will soon know what the court has if they have a certain aggregate and completing it until they have com- to say about the affordable health care amount, they will be required to hire a pleted what they have already agreed act. But we only have to talk to a few certified professional engineer to de- to. job creators, and not for very long, to sign a spill prevention control and Rest assured this is nothing new to know that the affordable health care countermeasure plan just like major the EPA. In fact, in the EPA guidance act is standing in the way of job cre- oil refineries. They may also be re- that accompanies the current regula- ation just as are regulations. The EPA quired to purchase new capital equip- tions, they recommended the same keeps regulating. ment to comply with the rule, includ- thing: that until the evaluation of the The shortest path to more American ing dual containment tanks on farm current program is completed, no new jobs would be more American energy. trucks and fuel storage units that will requirements be imposed, especially for We have energy resources in greater necessarily raise the cost. small communities. abundance than we believe we had just My amendment would exempt farm- So all my amendment does is force a few years ago, oil shale and gas shale. ers from these regulations for above- the EPA to do what they have already We should produce more of our own en- ground oil storage tanks that have an agreed they would do, and that should ergy that would allow us to make aggregate storage capacity of less than be a fairly easy one to pass. things again. And what we can’t 12,000 gallons. Madam President, I see the Senator produce, if we can buy it from our clos- I know a small wheat farmer in from Connecticut has arrived, and so I est neighbors and our dependable northwest Oklahoma by the name of yield the floor. friends, we should do that. There is Keith Kisling. He is one of the only The PRESIDING OFFICER. The Sen- nothing wrong with buying from people farmers who took the time to actually ator from Connecticut. who don’t like us. But it is crazy to comply with the SPCC regulation. Mr. BLUMENTHAL. Madam Presi- have to buy from people who don’t like Those are spill regulations. Most peo- dent, I am here today to speak about a us, particularly if we can buy from peo- ple didn’t even try to comply. bipartisan amendment I have offered to ple who like us. First, he had to fill out over 80 pages the farm bill. It is an amendment that When we send $1 to our neighbors in of paperwork he did not understand. He incorporates a bill I offered, the Ani- Canada, they send almost $1 back every hired an online service to help him mal Fighting Spectator Prohibition single time. The likelihood that Cana- comply, which cost him money and Act, and is cosponsored by Senators dians will decide they don’t want to didn’t make his job much easier. He KIRK, CANTWELL, BROWN of Massachu- sell us oil or gas is virtually zero. We must keep a copy of this plan on his setts, WYDEN, and LANDRIEU. I ask can’t say that about every country we property at all times in case he is in- unanimous consent that Senator have gotten too dependent on in recent spected. If he had older tanks, the rules KERRY be added as a cosponsor. years. would require him to purchase new The PRESIDING OFFICER. Without So let’s do the right thing. Let’s have double-walled tanks that are incredibly objection, it is so ordered. a true path to recovery. Let’s have expensive. In addition, he now has to Mr. BLUMENTHAL. Madam Presi- good energy policy. Let’s have good tax build a berm around his tanks to hold dent, commonly in advocating or intro- policy. Let’s have good regulatory pol- 18,000 gallons of fuel in case it does ducing bills, Senators will have photo- icy. And let’s see if we can’t get the leak. This will be very expensive and graphs or digital aids, and I thought private sector the kind of priority in time consuming. He also must install a about doing that today, but then real- job creation it needs. Of course, that liner underneath the tanks and at the ized that the photographs appropriate includes one of the brightest lights in bottom of the berm to contain any for this bill are of mangled, cruelly the private sector, which is farming leaks. He reports that the rules are ex- torn animals that have died in the families and the agriculture economy tremely confusing and the regulations midst of torture from a blood sport and our ability to compete in a world just don’t make any sense, given the that has no place in any of our Amer- because of the great job we do in agri- fact that farmers would not let leaks ican towns or cities or countrysides. culture. go unnoticed because diesel fuel is too This blood sport involves animal fight- Madam President, I yield the floor, expensive. ing. This activity is not only cruel and and I suggest the absence of a quorum. In addition to providing this exemp- inhumane, it is also a sport that fos- The PRESIDING OFFICER. The tion, it will also allow farmers who are ters, promotes, and encourages illegal clerk will call the roll. The legislative clerk proceeded to regulated to self-certify instead of activity, including drug dealing, gangs, call the roll. going to the expense of hiring engi- and gambling. It is a source of the Mr. INHOFE. Madam President, I ask neers to do that for them. I am hoping worst instincts. It encourages the unanimous consent that the order for my colleagues will look at this as a worst in the human condition and the the quorum call be rescinded. regulation that is not needed and ac- worst in the individuals who partici- The PRESIDING OFFICER. Without cept my amendment. pate and come to watch it. objection, it is so ordered. I have a second amendment having to Congress has recognized this fact in Mr. INHOFE. Madam President, I ask do with storm water. One of the biggest the past, as recently as 2007, by upgrad- unanimous consent that I be recog- threats is the overburdensome and ing the Federal law against animal nized out of turn, and I will cease when costly regulation. But one of the best fighting. It is prohibited, and the act of Senator BLUMENTHAL shows up. ways to stop these rules is to ensure 2007 made the interstate transport of The PRESIDING OFFICER. Without that when an agency states they will fighting animals, or cockfighting tools, objection, it is so ordered. collect the best available information a Federal felony. Mr. INHOFE. Madam President, I before imposing a new regulation, that In 2008, in the wake of the Michael come from the farm State of Okla- they do that. Vick case, Congress again improved the

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It pro- the penalties are more comprehensive commit and four amendments be the hibits exhibiting, buying, possessing, and the organized criminal activity is first amendments and motion to re- training, and transporting an animal ended. These crimes are a Federal mat- commit in order to the bill with no for participation in a fighting activity. ter and the Federal response ought to other first-degree amendments or mo- It is comprehensive and powerful ex- be overwhelming. In the Michael Vick tions to recommit in order until these cept for one loophole, and that is the case, as an example, the local Com- amendments and motion are disposed one I propose to cover through this monwealth attorney refused to take of: Paul No. 2182, Shaheen No. 2160, amendment to the farm bill. action and Federal authorities had to Coburn No. 2353, Cantwell No. 2370, and This legislation would prohibit know- prosecute this case. Lee motion to recommit; that there be ingly attending an animal fight by set- This measure has law enforcement up to 60 minutes of debate equally di- ting penalties that include a fine or im- endorsements not only from sheriffs vided between the two leaders or their prisonment of up to 1 year or both. It but from others who care about this designees on each of these amendments would also extend stricter penalties for problem, such as the Federal Law En- and the Lee motion; that upon the use any individual who knowingly brings a forcement Officers Association and the or yielding back of time on all four child to an animal fight, and the pen- Fraternal Order of Police. It is sup- amendments and the Lee motion, the alty for engaging in that activity ported as well by the American Veteri- Senate proceed to votes in relation to would be a fine and prison sentence of nary Medical Association and the Hu- the amendments and motion in the up to 3 years or both. So the loophole mane Society of the United States, order listed; that there be no amend- here is that spectators are not covered which has been a strong partner in this ments or motions in order to the and bringing children to these events is effort and does so much great work to amendments or the Lee motion—which not covered, and that is why this legis- protect animals in this country and is the motion to recommit—prior to lation is absolutely essential. around the world. My thanks to the Why spectators? Well, spectators are the votes other than motions to waive Humane Society for its courageous commonly participants. In fact, the points of order and motions to table; leadership in this area. sport would not exist without spec- that upon disposition of these amend- It would be no cost to the Federal ments and the Lee motion, I be recog- tators. They are the ones who gamble, Government, to answer a question that engage in other criminal activity, and nized. is always raised. The Congressional The PRESIDING OFFICER. Is there who go there simply to engage in that Budget Office has scored this legisla- objection? activity. They are there not only to tion and found it has zero cost to the The Senator from Kentucky. watch but to bring their own animals Federal Government. So let me say the Mr. PAUL. Madam President, reserv- to fight or to gamble illegally or for legislation is bipartisan, it is common- ing the right to object, I am very con- drug dealing illegally or gang activity sense, it is humane, it is right, and it cerned about Dr. Shakil Afridi. He is a illegally. Spectators are the source of will cost zero dollars to close this last doctor in Pakistan who got informa- financing, and they make it profitable. remaining loophole, this last remain- tion that helped us and led to the cap- They must be subject to Federal law ing refuge for a blood sport that has no ture of bin Laden. He is now being held and Federal prohibitions in the same place in a civilized society. It gives in prison. He has been put in prison in way as anyone who actually engages in Federal law enforcers the tools they Pakistan for 33 years. I don’t think we already prohibited activity. This type badly need to stop it, and I urge its should continue to send U.S. taxpayer of criminal element—gathering of money in the form of foreign aid to dogfights or cockfights—ought to be adoption. I yield the floor and suggest the ab- Pakistan when they are holding in subject to the same kinds of prohibi- sence of a quorum. prison a doctor who simply helped us tion. The PRESIDING OFFICER. The Why children? Well, without stating to get bin Laden. clerk will call the roll. the obvious, coming to a cockfight or a This issue is of the utmost urgency. The assistant bill clerk proceeded to His case will be heard for an appeal. It dogfight, which is a blood sport, leads call the roll. to other kinds of violence. I don’t need is a political case. It can be influenced The PRESIDING OFFICER. The Sen- by U.S. actions. I think the U.S. tax- to cite the scientific evidence for any- ator from Connecticut. one who is a parent and a Member of payers should not send money to Paki- Mr. BLUMENTHAL. I ask unanimous stan when Pakistan is holding this in- this body. Right now there is no law consent that the quorum call be re- that applies to bringing children to nocent man who helped us get one of scinded. the world’s most dangerous men, a such an event, and we need to close The PRESIDING OFFICER. Without that loophole. mass murderer who killed 3,000 Ameri- objection, it is so ordered. cans. We captured him with help from Again, if I had photographs here, one Mr. BLUMENTHAL. Madam Presi- Dr. Shakil Afridi, and Dr. Afridi de- would be of a small girl literally crying dent, I ask unanimous consent that the serves our help now. at the sight of one of these animals period for debate only on S. 3240 be ex- mangled and cruelly torn apart before I have an amendment that is very tended until 5:30 p.m., and that the ma- important. It is not germane. But that death. jority leader be recognized at that This bill would in no way apply to in- does not mean it is not important. It is time. very important that we send Pakistan nocent bystanders because it would re- The PRESIDING OFFICER. Without a signal that we will not continue to quire proof that the person is aware objection, it is so ordered. they are at such an animal fight. It Mr. BLUMENTHAL. I yield the floor send them a welfare check when they would not intrude on States rights. In and suggest the absence of a quorum. are holding in prison a political pris- fact, 49 States already have similar The PRESIDING OFFICER. The oner who helped us get bin Laden. This laws. We need a Federal law because clerk will call the roll. amendment is of the utmost urgency many of these activities are in inter- The assistant bill clerk called the and would only require 15 minutes of state commerce and the power of the roll. the Senate’s time. I am not asking for Federal Government as an enforcer is Mr. REID. Madam President, I ask all day. I am asking for 15 minutes to irreplaceable. The Federal Government unanimous consent that the order for vote on ending aid to Pakistan until ought to be on record against the the quorum call be rescinded. they release Dr. Afridi. crimes involved that are committed by The PRESIDING OFFICER (Mrs. I do not think this is too much to spectators and against bringing chil- HAGAN). Without objection, it is so or- ask. The Senate has historically been a dren to this kind of event. dered. body that allowed debate, that allowed When animal fighting involves play- Mr. REID. Madam President, I ask amendments, pertinent or not perti- ers from a number of different States, unanimous consent that a Stabenow- nent. This one is very important. Time

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Objec- ents and provision of supplemental nutrition an amendment numbered 2391. tion is heard. assistance benefits to all low-income house- Mr. REID. Madam President, I appre- (The amendment is printed in today’s holds in the State; and ciate the good intentions of my friend RECORD under ‘‘Text of Amendments.’’) (2) a description of— from Kentucky because they are good Mr. REID. Madam President, I ask (A) benefits provided based on the aggre- intentions. But we are on a bill now for the yeas and nays on this motion. gate grant amount; and that just simply does not allow some- The PRESIDING OFFICER. Is there a (B) the manner in which supplemental nu- sufficient second? trition assistance benefits will be provided thing like that to come forward. I under the State plan, including the use of would like to work with him in the fu- There is a sufficient second. State administration organizations, private ture—I am sure a number of other Sen- The yeas and nays were ordered. contractors, or consultants. ators would—to focus on our relations AMENDMENT NO. 2392 (c) CERTIFICATION OF THE ADMINISTRATION with Pakistan. Mr. REID. Madam President, I now OF THE PROGRAM.— It is not only the problem he out- call up amendment No. 2392. (1) IN GENERAL.—The Governor of each The PRESIDING OFFICER. The State that receives a grant under section lined, but there are other things—the 4003 shall issue a certification to the Sec- ability of our vehicles to drive to Af- clerk will report. retary in accordance with this subsection. ghanistan and lots of other things. It is The assistant legislative clerk read (2) ADMINISTRATION.—The certification an issue on which the Foreign Rela- as follows: shall specify which 1 or more State agencies tions Committee has held hearings. It The Senator from Nevada [Mr. REID] pro- will administer and supervise the State plan is something on which we need to poses an amendment numbered 2392 to the under this section. focus, and I would also indicate to my instructions of the motion to recommit S. (3) PROVISION OF BENEFITS ONLY TO LOW-IN- COME INDIVIDUALS AND HOUSEHOLDS.— friend that Senator LEAHY, who has 3240. (A) IN GENERAL.—The certification shall been a protector of human rights for The amendment is as follows: certify that the State will— his entire career, is the chairman of (Purpose: To empower States with pro- (i) only provide supplemental nutrition as- the State-Foreign Operations Sub- grammatic flexibility and predictability to sistance to low-income individuals and committee. He is also concerned about administer a supplemental nutrition as- households in the State; and this. sistance block grant program under which, (ii) take such action as is necessary to pro- So I would say to my friend that he at the request of a State agency, eligible hibit any household or member of a house- households within the State may receive does not stand alone in his concern. hold that does not meet the criteria de- an adequate, or more nutritious, diet) scribed in subparagraph (B) from receiving But there has to be a time and place Beginning on page 1, strike line 2 and all supplemental nutrition assistance benefits. for everything. Hopefully, we can have that follows through page 31, line 10, and in- (B) CRITERIA.—A household shall meet the a full debate on our relations with sert the following: criteria described in this subparagraph if the Pakistan in the near future. Subtitle A—Supplemental Nutrition household is— AMENDMENT NO. 2389 Assistance Block Grant Program (i) a household in which each member re- ceives benefits under the supplemental secu- Mr. REID. Madam President, on be- SEC. 4001. PURPOSE. half of the managers, I call up amend- rity income program established under title The purpose of this subtitle is to empower XVI of the Social Security Act (42 U.S.C. 1381 ment No. 2389, which is at the desk. States with programmatic flexibility and fi- et seq.); The PRESIDING OFFICER. The nancial predictability in designing and oper- (ii) a low-income household that does not clerk will report. ating State programs— exceed 100 percentage of the poverty line (as The assistant legislative clerk read (1) to raise the levels of nutrition among defined in section 673(2) of the Community as follows: low-income households; Services Block Grant Act (42 U.S.C. 9902(2), (2) to provide supplemental nutrition as- The Senator from Nevada [Mr. REID], for including any revision required by such sec- sistance benefits to households with income Ms. STABENOW and Mr. ROBERTS proposes an tion)) for a family of the size involved as the and resources that are insufficient to meet amendment numbered 2389. State shall establish; or the costs of providing adequate nutrition; (iii) a household in which each member re- (The amendment is printed in today’s and ceives benefits under a State or Federal gen- RECORD under ‘‘Text of Amendments.’’) (3) to provide States the flexibility to pro- eral assistance program that complies with Mr. REID. Madam President, I ask vide new and innovative means to accom- income criteria standards comparable to or for the yeas and nays on that amend- plish paragraphs (1) and (2) based on the pop- more restrictive than the standards estab- ment. ulation and particular needs of each State. lished under clause (ii). The PRESIDING OFFICER. Is there a SEC. 4002. STATE PLANS. (4) PROVISION OF BENEFITS ONLY TO CITIZENS sufficient second? (a) IN GENERAL.—To receive a grant under AND LAWFUL PERMANENT RESIDENTS OF THE There is a sufficient second. section 4003, a State shall submit to the Sec- UNITED STATES.—The certification shall cer- The yeas and nays were ordered. retary a written plan that describes the tify that the State will— manner in which the State intends to con- (A) only provide supplemental nutrition AMENDMENT NO. 2390 TO AMENDMENT NO. 2389 duct a supplemental nutrition assistance assistance to citizens and lawful permanent Mr. REID. Madam President, I have a program that— residents of the United States; and second-degree amendment at the desk. (1) is designed to serve all political subdivi- (B) take such action as is necessary to pro- The PRESIDING OFFICER. The sions in the State; hibit supplemental nutrition assistance ben- clerk will report. (2) provides supplemental nutrition assist- efits from being provided to any individual The assistant legislative clerk read ance benefits to low-income households for or household a member of which is not a cit- as follows: the sole purpose of purchasing food, as de- izen or lawful permanent resident of the fined by the applicable State agency in the United States. The Senator from Nevada [Mr. REID] pro- plan; and (5) CERTIFICATION OF STANDARDS AND PROCE- poses an amendment numbered 2390 to (3) limits participation in the supple- DURES TO ENSURE AGAINST PROGRAM FRAUD, amendment No. 2389. mental nutrition assistance program to WASTE AND ABUSE.—The certification shall The amendment is as follows: those households the incomes and other fi- certify that the State— At the end, add the following: nancial resources of which, held singly or in (A) has established and will continue to en- SEC. lll. EFFECTIVE DATE. joint ownership, are determined by the State force standards and procedures to ensure This Act shall become effective 5 days to be a substantial limiting factor in permit- against program fraud, waste, and abuse, in- after enactment. ting the members of the household to obtain cluding standards and procedures concerning MOTION TO RECOMMIT WITH AMENDMENT NO. 2391 a more nutritious diet. nepotism, conflicts of interest among indi- (b) REQUIREMENTS.—Each plan shall in- viduals responsible for the administration Mr. REID. Madam President, I have a clude— and supervision of the State program, kick- motion to recommit the bill with in- (1) specific objective criteria for— backs, and the use of political patronage; structions at the desk. (A) the determination of eligibility for nu- and The PRESIDING OFFICER. The tritional assistance for low-income house- (B) will prohibit from further receipt of clerk will report. holds, which may be based on standards re- benefits under the program any recipient

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who attempts to receive benefits fraudu- (b) LIMITATION ON USE OF GRANT FOR AD- payment, purchase, or other operation, for lently. MINISTRATIVE PURPOSES.—A State may not any of the 2015 and subsequent crops of sugar (6) LIMITATION ON SECRETARIAL AUTHOR- use more than 3 percent of the amount of a beets and sugarcane by using the funds of the ITY.—The Secretary— grant received for a fiscal year under section Commodity Credit Corporation or other (A) may only review a State plan sub- 4003 for administrative purposes. funds available to the Secretary. mitted under this section for the purpose of SEC. 4005. AUTHORIZATION OF APPROPRIATIONS. (b) TERMINATION OF MARKETING QUOTAS confirming that a State has submitted the There is authorized to be appropriated to AND ALLOTMENTS.— required documentation; and carry out this subtitle $45,000,000,000 for fis- (1) IN GENERAL.—Part VII of subtitle B of (B) shall not have the authority to approve cal year 2013 and each fiscal year thereafter. title III of the Agricultural Adjustment Act or deny a State plan submitted under this SEC. 4006. REPEAL. of 1938 (7 U.S.C. 1359aa et seq.) is repealed. section or to otherwise inhibit or control the (a) IN GENERAL.—Effective 120 days after (2) CONFORMING AMENDMENT.—Section expenditure of grants paid to a State under the date of enactment of this Act, the Food 344(f)(2) of the Agricultural Adjustment Act section 4003, unless a State plan does not and Nutrition Act of 2008 (7 U.S.C. 2011 et of 1938 (7 U.S.C. 1344(f)(2)) is amended by comply with the requirements of this sec- seq.) is repealed. striking ‘‘sugar cane for sugar, sugar beets tion. (b) RELATIONSHIP TO OTHER LAW.—Any ref- for sugar,’’. SEC. 4003. GRANTS TO STATES. erence in this Act, an amendment made by (c) GENERAL POWERS.— (a) IN GENERAL.—Beginning 120 days after this Act, or any other Act to the supple- (1) SECTION 32 ACTIVITIES.—Section 32 of the the date of enactment of this Act, and annu- mental nutrition assistance program shall be Act of August 24, 1935 (7 U.S.C. 612c), is ally thereafter, each State that has sub- considered to be a reference to the supple- amended in the second sentence of the first mitted a plan that meets the requirements of mental nutrition assistance block grant pro- paragraph— section 4002 shall receive from the Secretary gram under this subtitle. (A) in paragraph (1), by inserting ‘‘(other a grant in an amount determined under sub- than sugar beets and sugarcane)’’ after section (b). Mr. REID. I ask for the yeas and nays ‘‘commodities’’; and (b) AMOUNTS OF GRANTS.— on that amendment. (B) in paragraph (3), by inserting ‘‘(other (1) IN GENERAL.—Subject to paragraph (3), a The PRESIDING OFFICER. Is there a than sugar beets and sugarcane)’’ after grant received under subsection (a) shall be sufficient second? ‘‘commodity’’. in an amount equal to the product of— There is a sufficient second. (2) POWERS OF COMMODITY CREDIT CORPORA- (A) the amount made available under sec- The yeas and nays were ordered. TION.—Section 5(a) of the Commodity Credit tion 4005 for the applicable fiscal year; and Corporation Charter Act (15 U.S.C. 714c(a)) is (B) the proportion that— AMENDMENT NO. 2393 TO AMENDMENT NO. 2392 amended by inserting ‘‘, sugar beets, and (i) the number of individuals residing in Mr. REID. Madam President, I call sugarcane’’ after ‘‘tobacco’’. the State whose income does not exceed 100 up amendment No. 2393, which is a sec- (3) PRICE SUPPORT FOR NONBASIC AGRICUL- percent of the poverty line described in sec- ond-degree amendment. TURAL COMMODITIES.—Section 201(a) of the tion 4002(c)(3)(B)(ii) applicable to a family of The PRESIDING OFFICER. The Agricultural Act of 1949 (7 U.S.C. 1446(a)) is the size involved; bears to clerk will report. amended by striking ‘‘milk, sugar beets, and (ii) the number of such individuals in all sugarcane’’ and inserting ‘‘, and milk’’. States that have submitted a plan under sec- The assistant legislative clerk read (4) COMMODITY CREDIT CORPORATION STOR- tion 4002 for the applicable fiscal year, based as follows: AGE PAYMENTS.—Section 167 of the Federal on data for the most recent fiscal year for The Senator from Nevada [Mr. REID] pro- Agriculture Improvement and Reform Act of which data is available. poses an amendment numbered 2393 to 1996 (7 U.S.C. 7287) is repealed. (2) PRO RATA ADJUSTMENTS.—The Secretary amendment No. 2392. (5) SUSPENSION AND REPEAL OF PERMANENT shall make pro rata adjustments in the The amendment is as follows: amounts determined for States under para- PRICE SUPPORT AUTHORITY.—Section 171(a)(1) graph (1) for each fiscal year as necessary to (Purpose: To phase out the Federal sugar of the Federal Agriculture Improvement and ensure that— program) Reform Act of 1996 (7 U.S.C. 7301(a)(1)) is (A) the total amount appropriated for the At the end, add the following: amended— applicable fiscal year under section 4005 is SEC. lll. SHORT TITLE. (A) by striking subparagraph (E); and allotted among all States that submit a plan This subtitle may be cited as the ‘‘Stop (B) by redesignating subparagraphs (F) under section 4002; and Unfair Giveaways and Restrictions Act of through (I) as subparagraphs (E) through (H), (B) the total amount of all supplemental 2012’’ or ‘‘SUGAR Act of 2012’’. respectively. (6) STORAGE FACILITY LOANS.—Section nutrition assistance grants for States deter- SEC. lll. SUGAR PROGRAM. 1402(c) of the Farm Security and Rural In- mined for the fiscal year does not exceed the (a) IN GENERAL.—Section 156 of the Federal vestment Act of 2002 (7 U.S.C. 7971) is re- total amount appropriated for the fiscal Agriculture Improvement and Reform Act of pealed. year. 1996 (7 U.S.C. 7272) is amended— (7) FEEDSTOCK FLEXIBILITY PROGRAM FOR (3) ADMINISTRATIVE PROVISIONS.— (1) in subsection (d), by striking paragraph BIOENERGY PRODUCERS.—Effective beginning (A) QUARTERLY PAYMENTS.—The Secretary (1) and inserting the following: with the 2013 crop of sugar beets and sugar- shall make each supplemental nutrition as- ‘‘(1) LOANS.—The Secretary shall carry out cane, section 9010 of the Farm Security and sistance grant payable to a State for a fiscal this section through the use of recourse Rural Investment Act of 2002 (7 U.S.C. 8110) year under this section in quarterly install- loans.’’; ments. (2) by redesignating subsection (i) as sub- is repealed. RANSITION PROVISIONS.—This section (B) COMPUTATION AND CERTIFICATION OF section (j); (d) T and the amendments made by this section PAYMENT TO STATES.— (3) by inserting after subsection (h) the fol- shall not affect the liability of any person (i) COMPUTATION.—The Secretary shall esti- lowing: under any provision of law as in effect before mate the amount to be paid to each State for ‘‘(i) PHASED REDUCTION OF LOAN RATE.— each quarter under this section based on a For each of the 2012, 2013, and 2014 crops of the application of this section and the report filed by the State that shall include— sugar beets and sugarcane, the Secretary amendments made by this section. (I) an estimate by the State of the total shall lower the loan rate for each succeeding SEC. lll. TARIFF-RATE QUOTAS. amount to be expended by the State during crop in a manner that progressively and uni- (a) ESTABLISHMENT.—Except as provided in the applicable quarter under the State pro- formly lowers the loan rate for sugar beets subsection (c) and notwithstanding any gram funded under this subtitle; and and sugarcane to $0 for the 2015 crop.’’; and other provision of law, not later than Octo- (II) such other information as the Sec- (4) in subsection (j) (as redesignated), by ber 1, 2012, the Secretary shall develop and retary may require. striking ‘‘2012’’ and inserting ‘‘2014’’. implement a program to increase the tariff- (ii) CERTIFICATION.—The Secretary shall (b) PROSPECTIVE REPEAL.—Effective begin- rate quotas for raw cane sugar and refined certify to the Secretary of the Treasury the ning with the 2015 crop of sugar beets and sugars for a quota year in a manner that en- amount estimated under clause (i) with re- sugarcane, section 156 of the Federal Agri- sures— spect to each State, adjusted to the extent of culture Improvement and Reform Act of 1996 (1) a robust and competitive sugar proc- any overpayment or underpayment— (7 U.S.C. 7272) is repealed. essing industry in the United States; and (I) that the Secretary determines was SEC. lll. ELIMINATION OF SUGAR PRICE SUP- (2) an adequate supply of sugar at reason- made under this subtitle to the State for any PORT AND PRODUCTION ADJUST- able prices in the United States. prior quarter; and MENT PROGRAMS. (b) FACTORS.—In determining the tariff- (II) with respect to which adjustment has (a) IN GENERAL.—Notwithstanding any rate quotas necessary to satisfy the require- not been made under this paragraph. other provision of law— ments of subsection (a), the Secretary shall SEC. 4004. USE OF GRANTS. (1) a processor of any of the 2015 or subse- consider the following: (a) IN GENERAL.—Subject to subsection (b), quent crops of sugarcane or sugar beets shall (1) The quantity and quality of sugar that a State that receives a grant under section not be eligible for a loan under any provision will be subject to human consumption in the 4003 may use the grant in any manner that is of law with respect to the crop; and United States during the quota year. reasonably demonstrated to accomplish the (2) the Secretary may not make price sup- (2) The quantity and quality of sugar that purposes of this subtitle. port available, whether in the form of a loan, will be available from domestic processing of

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00033 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.003 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3964 CONGRESSIONAL RECORD — SENATE June 12, 2012 sugarcane, sugar beets, and in-process beet needs to move forward. A lot of times front of us. It is an opportunity for ev- sugar. when the tree is filled we just walk eryone to say their piece. I can tell you (3) The quantity of sugar that would pro- away from it. We are not going to walk as someone who represents a lot of vide for reasonable carryover stocks. away from this. This bill is far too im- sugar beets that I care very deeply (4) The quantity of sugar that will be avail- able from carryover stocks for human con- portant. It affects the lives of millions about this issue and certainly support sumption in the United States during the of people—about 16 million—in Amer- the Sugar Program. But it is an impor- quota year. ica. tant debate to have, and Members de- (5) Consistency with the obligations of the The reforms have been made in this serve to be heard on all sides. United States under international agree- bill—I remember when I came from the The other relates to the Supple- ments. House of Representatives 26 years ago, mental Nutrition Assistance Program. (c) EXEMPTION.—Subsection (a) shall not we wanted to make the reforms that Many Members have feelings on all include specialty sugar. are in this bill. So they have done re- sides about this, and so we think it is (d) DEFINITIONS.—In this section, the terms markably good work. We hear every- an important debate to have to give ‘‘quota year’’ and ‘‘human consumption’’ people an opportunity to give their have the meaning such terms had under sec- one, Democrats and Republicans, talk- tion 359k of the Agricultural Adjustment Act ing about: Let’s do something about opinions. of 1938 (7 U.S.C. 1359kk) (as in effect on the the debt and the deficit. Here we have I certainly, as this goes forward to- day before the date of the enactment of this done it. morrow, will be doing that myself and Act). What they have done is bring to this certainly feel very strongly that what SEC. lll. APPLICATION. body a bill that reduces our debt by $23 we have done in the bill on account- Except as otherwise provided in this sub- billion. We have a long ways we need to ability and transparency to make sure title, this subtitle and the amendments made go beyond that. But, gee whiz, this is a every dollar goes for families who need by this subtitle shall apply beginning with big deal, $23 billion. So I commend and it is very important. But we want the 2012 crop of sugar beets and sugarcane. applaud the two managers of this bill. Members to have an opportunity to be f They are fine Senators. They have done able to debate what is important policy a service to our country by getting us for our country. FLOOD INSURANCE REFORM AND to the point we are now. As we are moving forward on both of MODERNIZATION ACT—MOTION The PRESIDING OFFICER. The Sen- these amendments tomorrow, we will TO PROCEED ator from Michigan. also be working, our staffs and our- Mr. REID. Madam President, I now Ms. STABENOW. Madam President, selves, to come together on a larger move to proceed to Calendar No. 250, S. first I want to thank our leader for his package, a universe of amendments to 1940. strong support and helping us bring offer to the body of the Senate to be The PRESIDING OFFICER. The this to the floor. We would not be here able to move forward so we can come clerk will report the bill by title. without the Senator from Nevada, our up with a finite number of amendments The legislative clerk read as follows: leader. Frankly, there are many de- that will allow us to complete the bill. Many amendments have been offered. Motion to proceed to Calendar No. 250, S. mands, many things on his plate and We are going to spend our time going 1940, a bill to amend the National Flood In- our plate in the Senate. He under- through those just as we did in com- surance Act of 1968, to restore the financial stands 16 million jobs are affected by mittee where we worked across the solvency of the flood insurance fund, and for what happens in agriculture in this other purposes. aisle. We had 100 amendments and country. So I thank Senator REID for whittled that down to a point where we Mr. REID. Madam President, I have his willingness to support us and con- could come forward with agreed-upon managed a few bills during my time tinue to support us as we move forward here, quite a few bills. It is always so amendments. We are going to do the to get this bill done. same thing. We are going to put to- gratifying, after the work that goes I also want to thank my partner and gether a universe of amendments to into the work you have done on a com- my ranking member, the Senator from mittee or a subcommittee, to have that move forward on the bill. Kansas, for his continued leadership as But while we are doing that, we will matter come to the floor. It is a ter- we move the bill forward. We would have an opportunity—we invite Mem- rible disappointment to not be able to have liked to have begun the unani- bers who care particularly about either move forward as you anticipated. mous consent agreement to move for- of the issues that will be voted on to- So I say that for Senator STABENOW ward on six different amendments, not morrow—the leader will move forward and Senator ROBERTS. No one has the universe of amendments. Certainly, with a motion to table on those, but we worked harder than they have in bring- anyone could come down and say: Why want everyone to have an opportunity ing the bill to the floor. It is bipar- isn’t my amendment part of the first to come to the floor and be able to be tisan. It is important not only for the six? heard on both of those issues. State of Michigan, the State of Kansas, We wanted to get started as we So we are moving forward. We would but it is important for the country. worked with colleagues to bring up have liked to have done it with a larger I wish we could proceed in another other amendments. So we have put for- group of amendments that we could way to have amendments heard and ward something that involves, first of have started with while we continue voted on. But even though this is some- all, a technical amendment we need to through. Our goal is to allow as much thing awkward, we are going to move do for the bill, a perfecting amend- opportunity for discussion and debate forward with this bill. We are going to ment, and then two Democratic col- as possible. But, frankly, I have to say, bring up some amendments. They are leagues’ amendments and three Repub- before yielding to my friend from Kan- big amendments. They are crucial to lican colleagues’ amendments, includ- sas, our goal ultimately is to pass this Senators being able to issue their opin- ing the Senator from Kentucky who bill. ions on this legislation. One deals with just entered the objection, an impor- I mean we have 16 million people who sugar, one deals with food stamps, both tant debate that involves an amend- are counting on moving forward want- very controversial and very important. ment he is involved in. ing certainty. Our farmers and ranch- We are going to have those amend- So our first step was to try to do this ers want to know what is coming for ments, and, hopefully, we will have a around unanimous consent. But under- them as they are in the planting sea- good debate on those matters. We can standing that we do have an objection, son, going into harvest season in the move forward on this bill in other Senator REID has offered us another fall. They need economic certainty. We ways. I have not given up hope. I know path to do this by creating a way for us need to make sure we have a policy Senator STABENOW and Senator ROB- to at least have the debate on two of going forward that makes sense and is ERTS have not given up hope to have a the issues we had put forward in the six put in place before September 30 of this universal agreement so we can legis- amendments before us. year when these policies run out and late on this bill. One involves the Sugar Program for very serious ramifications to the budg- As I have indicated, we do not do this our country, and we have a number of et take place. very often in this manner. But it is im- Members who have different amend- Frankly, I think all of us have said portant because we have an issue that ments. We have one that will be in at one time or another that we want to

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00034 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.005 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3965 see deficit reduction. I do not know of agreement. That seems to be a little ing Member ROBERTS really have done another bill that has come before this bit of an exaggeration, more especially amazing work to bring this bill to the body with $23 billion in deficit reduc- for this body. At any rate, that agree- floor. It is bipartisan, and it is legisla- tion, bipartisan, and a number that was ment would encompass every Members’ tion that makes some significant re- agreed to in the fall with the House concern at least, and we would go back forms in the farm programs we have and the Senate. to what the Senate used to be and have had. We have an opportunity to tell the everybody offer amendments and de- In New Hampshire, many of the pro- people we represent in the country that bate them and then vote and have a grams that are authorized in the farm we meant it when we said deficit reduc- conclusion. That is exactly what we did bill are critical for our farmers and our tion. We meant it when we said reform. when we marked up the bill with over rural communities, as well as for the We meant it when we said we were 100 amendments in 41⁄2 hours. That was protection of our natural resources. I going to work together to get things a record. That is not what we are going hope we do have some agreement so done. We have been doing that with a to do as of tomorrow. At least there is that we will be able to actually have a wonderful bipartisan vote in com- some degree of movement. full debate on this bill in the remainder mittee, with a very strong vote to pro- I know the Senator from Iowa has of this week and in the upcoming week. ceed to this bill last week, and we several amendments that are ex- As I said, this legislation makes know the hard part is getting through tremely important to the future of ag- much needed reforms to our farm pro- it and coming up with the list of riculture program policy. I commend grams, and it helps to reduce the def- amendments we intend to do. him for his leadership in the past and icit. For all of that terrific reform and We are asking for our colleagues to for being such a successful partner in the work that has been done, Senator work with us on behalf of the people of working things out not only for his STABENOW and Ranking Member ROB- this country who have the safest, most State but for the country. ERTS deserve real appreciation and affordable food supply in the world be- We will persevere and we will get this thanks from this body. cause of a group of folks called farmers done. I guess we are like John Paul However, there is one glaring excep- and ranchers who have the biggest risk Jones—we have just begun to fight. tion to the reforms that have been in the country and go out every day to I yield the floor and suggest the ab- made in the bill; that is, the bill con- work hard to make sure we have the sence of a quorum. tains no reform to the Sugar Program. national security and the food security The PRESIDING OFFICER. The The sugar subsidies we provide to farm- we need for our country. clerk will call the roll. ers in America are really unique be- They are looking to us to get this The bill clerk proceeded to call the cause what the Federal Government done, along with children and families roll. does is to artificially restrict supply across this country. We will do that. Ms. STABENOW. Madam President, I and provide a subsidy that keeps prices We will begin that process between now ask unanimous consent that the order for sugar in the United States at near- and tomorrow with a debate on two im- for the quorum call be rescinded. ly twice the world average. These are portant issues. The PRESIDING OFFICER. Without high prices that hurt consumers. They I see my distinguished colleague and objection, it is so ordered. hurt businesses. In fact, a recent study friend here, the ranking member. I also Ms. STABENOW. Madam President, I found that the program costs Ameri- thank another distinguished colleague, know my colleague from New Hamp- cans $3.5 billion a year. the Senator from Iowa, who has made shire wishes to speak, but for the pur- Let me explain how the subsidy very significant contributions in this pose of Members’ understanding, I works. First, the Federal Government legislation on reforms—reforms he has would like to let everyone know what sets a floor on sugar prices through been fighting for for years. We have is happening now. guarantees. So they guarantee how stepped up to back him up and support We do have two amendments that much is going to be paid for the price him. We need to get this done—these will be voted on tomorrow morning. of sugar. These price floors ensure that reforms—and get this bill done. We are The majority leader has at his disposal sugar growers and processors will al- going to work hard to make sure we do the ability to have a motion to table, ways receive a minimum price for that. which he will exercise in the morning. sugar regardless of what happens on The PRESIDING OFFICER. The Sen- But we want anyone interested in ei- the world market. But sugar prices ator from Kansas. ther of these two topics or amendments have been far higher than the min- Mr. ROBERTS. Madam President, to come forward with the opportunity imum price for years now, and that is this isn’t exactly the trail I had hoped to debate tonight. Senator SHAHEEN thanks to some additional, very egre- we would take to get to a successful has an amendment that I know is very gious government controls on sugar. conclusion on a farm bill that we need important to her and many other Mem- Under the sugar subsidy program, the so vitally in farm country, for all the bers, and we want everyone to have the Federal Government tells sugar grow- reasons that the distinguished chair- opportunity this evening to do that. ers how much they can grow. These re- woman has outlined. I need not go over There will be a vote. I am not sure of strictions are called marketing allot- all of those reasons. I will mention the time exactly, but I would think at ments, and they limit how much sugar that we have a September 30 deadline this point it will be in the morning. So is available on the market and restrict in which the current farm bill expires. we want those who are interested in de- the ability of buyers and sellers to The alternative is to go back to the bating the Sugar Program or debating trade sugar freely. So this is not a mar- current farm bill, which we know is the question of whether to block grant ket enterprise when it comes to sugar outdated, and it has a payment system the nutrition program, the Supple- in the United States, and no other U.S. that is also outdated. mental Nutrition Assistance Program, crop is subject to these same kinds of The other alternative, if you don’t SNAP, to come forward to discuss and government controls. As a result, in extend the farm bill, is you go to the debate that this evening. There may be the United States we have severe sup- 1949 act, which is not sustainable. It is some time in the morning, but we will ply shortages which keep sugar prices not really an alternative. I had hoped be moving forward on both of these artificially high. we could start considering this. We had amendments. So we want to let them The last component of the subsidy three Republican amendments, two know that if these are topics they are program for sugar is trade restrictions. Democratic amendments, and also the interested in, we would certainly wel- The Federal Government severely re- perfecting amendment. But that is not come them coming to the floor. stricts the amount of sugar companies the trail we are going to go down. The PRESIDING OFFICER (Mr. BEN- can import into the United States. So Basically, I think about the only NET). The Senator from New Hamp- only about 15 percent of sugar in the thing I can add is that we are not giv- shire. United States is imported at those ing up. We can’t. We will keep working Mrs. SHAHEEN. Mr. President, I lower world average prices. as hard as we can to accommodate all thank Senator STABENOW, who has Again, no other crop is subject to the Members. I know there is a lot of talk done such a great job of chairing the kinds of restrictions and price controls on both sides of the aisle about a global Agriculture Committee. She and Rank- I have just described. The result is a

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00035 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.061 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3966 CONGRESSIONAL RECORD — SENATE June 12, 2012 subsidy that hurts hundreds of thou- gram, we are sacrificing three jobs in Sugar Program for years now. The Con- sands of businesses and consumers and American manufacturing. A recent sumer Federation of America and the only benefits about 4,700 sugar growers. study by an agricultural research firm National Consumers League have Unfortunately, the farm bill before the called Promar suggests that the pro- joined business groups such as the U.S. Senate, while it contains a lot of re- gram—the sugar subsidy, that is—costs Chamber of Commerce and the Na- forms, contains no reforms to this sub- 20,000 American jobs each year. In addi- tional Association of Manufacturers in sidy program. tion, a recent analysis that I referred support of this amendment. These I have introduced several amend- to earlier found that the program also groups support reforming this program ments, but the one we are going to be costs consumers $3.5 billion every year because they recognize that these spe- voting on tomorrow is one that would in the form of artificially high sugar cial interests are hurting consumers repeal the subsidy so that prices are prices. These really are pretty star- and they are hurting American busi- determined by the market instead of tling numbers, but I wish to talk about nesses. government controls. how this subsidy program affects just So I hope all of my colleagues will For the past 11⁄2 years, I have been one of the small businesses in New support this amendment tomorrow. working with our colleague, Senator Hampshire. Help us grow small businesses and cre- MARK KIRK of Illinois, on bipartisan We have a company called Granite ate those American jobs. Let’s reform legislation—the SUGAR Act—which State Candy Shoppe. It is a small fam- the Sugar Program. It is long overdue. would phase out the Sugar Program ily-owned candy manufacturing com- Mr. President, I yield the floor, and I over several years and eliminate gov- pany in Concord, NH, the capital of suggest the absence of a quorum. ernment control of sugar prices. Unfor- New Hampshire. Sugar is that com- The PRESIDING OFFICER. The tunately, Senator KIRK can’t be here pany’s most important ingredient. Jeff clerk will call the roll. tomorrow for this vote because he is Bart, who is the owner, tells me that The bill clerk proceeded to call the continuing his recovery, but I am the artificially high cost of sugar has roll. pleased there is a bipartisan group of forced the company to raise prices on Ms. STABENOW. Mr. President, I ask our colleagues who have joined in sup- their goods but, more importantly, the unanimous consent the order for the port of this sugar reform. In particular, subsidy has also prevented the com- quorum call be rescinded. Senators LUGAR, MCCAIN, DURBIN, pany from hiring new workers as The PRESIDING OFFICER. Without TOOMEY, LAUTENBERG, COATS, quickly as it would like to. So while objection, it is so ordered. PORTMAN, FEINSTEIN, and my colleague Granite State Candy Shoppe would like Ms. STABENOW. Mr. President, I from New Hampshire, Senator AYOTTE, to grow and expand, the sugar subsidy will take a few moments to speak have all joined me in calling for elimi- is really slowing down that expansion about the two amendments we will be nation or significant reform of the because of the high price of sugar. voting on with motions to table tomor- Sugar Program. Granite State Candy Shoppe is just one row and urge that my colleagues, in This is a big concern for us in New of many companies that want to grow fact, do vote to table these amend- Hampshire and other States around the but are forced to slow down their ex- ments. I appreciate we have colleagues country that actually make candy or pansion due to an outdated, unneces- on both sides of the aisle who care other products that rely on sugar. In sary government program that benefits about both of them, but I ask, in the New Hampshire, we are the American relatively few sugar cane and sugar interest of a strong agricultural policy home of Lindt chocolates. We also have beet growers nationwide. and nutrition policy, that we not sup- a number of other small candy compa- High sugar prices also put American port the amendments that are in front nies. As this chart shows, American companies at a competitive disadvan- of us. But I do appreciate the fact that manufacturing companies such as tage with foreign manufacturers. Since we are beginning to talk about issues Lindt pay almost twice the world aver- foreign companies can get sugar so and amendments. This is very impor- age price for their sugar. In fact, prices much cheaper, it is tempting for Amer- tant. have gone up considerably since Con- ican companies to look elsewhere to We have many amendments and ideas gress passed the last farm bill in 2008. manufacture their candy. In fact, low that Members want to bring up. We are We can see that this blue line at the sugar prices are a major selling point going to do our level best, within the bottom is the world price of raw sugar. for foreign governments encouraging framework we have to deal with in This red line is the U.S. price of raw candy companies to relocate. terms of procedure, to be able to bring sugar. This green line at the top is the We just copied this cover of a bro- up as many different topics and have as U.S. wholesale refined sugar price. So chure from Canada. It says: much opportunity for people to debate while we can see how much higher that Canada—North America’s Location of as possible because we want to move raw sugar price is, we can also see what Choice for Confectionary Manufacturers. forward on this very important bill it does to the refined sugar price, and Consider these hard facts. Sugar re- that we all know would reduce the def- we can see how significantly it has in- finers import the vast majority of their icit by over $23 billion. It has major re- creased since the last farm bill. Again, raw materials at world prices. Cana- forms. Yet it will strengthen agricul- the sugar subsidy program is able to dian sugar users enjoy a significant ad- tural policy—nutrition policy, con- keep these prices so high because it vantage—the average price of refined servation policy—and maintain and distorts the market. sugar is usually 30 to 40 percent lower support 16 million jobs. That is why we In addition to the minimum prices in Canada than in the United States. are here. guaranteed by the government, the Most manufactured products con- I wish to take a moment to talk Federal Government drastically re- taining sugar are freely traded in the about our American sugar policy. We stricts the supply of sugar in the NAFTA region. So we are losing these grow a lot of sugar beets in Michigan. United States, with only about 15 per- jobs to Canada and to other places— Our first sugar policy goes back to 1789 cent of sugar sold coming from 20,000 jobs a year—in businesses that in this country. I don’t think either abroad—thanks to those import re- need sugar as a major ingredient. one of us was here. The Presiding Offi- strictions. The government controls This outdated program puts Amer- cer certainly was not here. Nobody was how much each individual sugar proc- ican companies at a competitive dis- here. But in 1789 we began the first essor can sell, and that further re- advantage, and it should go. That is sugar policy. Our modern policy can be stricts supply on the market. Again, why I hope our colleagues, as they are traced back to the Sugar Acts of 1934, the result of these government controls considering this amendment tomorrow 1937, and 1948. Sugar is not similar to is to keep the artificially high prices morning to repeal the Sugar Program, other commodities. Both sugarcane for sugar that are reflected on this will decide to support it. I hope we will and sugar beets must be processed soon graph. not have opposition to voting on the after harvest—which is a key factor for These high sugar prices hurt job cre- amendment from any of our colleagues them—using costly processing machin- ation. According to the Department of in the Senate. ery. Commerce, for every one job protected We have had consumer and business If farmers need to scale back produc- in the sugar industry through this pro- groups calling for the repeal of the tion because of a sudden drop in price,

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00036 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.064 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3967 the processing plant shuts down and tables for their children. They have number of families receiving supple- may never reopen. Because this proc- had to do that during this recession, in mental nutrition assistance is actually essing is so capital intensive, it is im- a temporary way, to help them get going to go down over the next 10 perative we give producers a stable through what, for them, has been an in- years. It is going to go down because marketplace so they do not experience credibly difficult time. we are seeing the unemployment rate a constant boom and bust, which is We know the No. 1 way to address go down, and it tracks the same. In what we would see without the sta- that is jobs. We want to make sure, in fact, in this bill we build in savings bility of the program we have today. fact, we are creating jobs, supporting over the life of the farm bill because it The current U.S. sugar policy has the private sector entrepreneurial spir- is projected that the costs are going to been run at zero cost to taxpayers for it to bring back manufacturing, mak- go down—not by some arbitrary cuts the last 10 years. Let me just say this ing things, growing things, creating but by actually having it go down be- again—zero; zero cost to the American jobs. But we also know, as this has cause the costs go down. When people taxpayer for the last 10 years. This pol- been slow to turn around for many go back to work, they don’t need the icy helps defend 142,000 American jobs families, that we have Americans who temporary help anymore. There are and $20 billion in economic activity have needed some temporary help. savings in this bill by the fact that the every year: zero cost, 142,000 jobs, $20 That is what SNAP, the Supplemental costs are going down because the un- billion in economic activity every Nutrition Assistance Program, is all employment rate is going down, and year. about. that is the most significant thing. Two things come to mind. Even with The amendment tomorrow that we Turning supplemental nutrition as- our sugar policy, the United States in- will be voting on would turn this pro- sistance into a block grant won’t make terestingly is the second largest net gram into an entire block grant, mak- the program more efficient or more ef- importer of sugar behind only Russia. ing it much less effective in responding fective. Instead, we are likely to see This is important because our policy to needs—frankly, block granting and States shifting dollars out of SNAP to has been viewed as a protectionist pol- then cutting over half the current lev- look at other budget priorities in very icy. Yet we are still an importer. We els of support and funding needed to tough times. If it is a block grant, they import sugar, the second highest only maintain help for those who are cur- are not required to use it for food to to Russia. What we are talking about is rently receiving SNAP benefits. Reduc- help families. We all know that States allowing a stable marketplace for tions at that level could exceed the are under tremendous pressure on all American producers. total amount of supplemental nutri- sides, so it is not even clear—it The price of sugar for consumers is tion help projected to go to families in wouldn’t be accountable in terms of among the lowest in the developed 29 of our smallest States and terri- where those dollars are going in terms world. Despite many debates to the tories over the next 10 years. It is ex- of food assistance. contrary, in the European Union prices tremely dramatic and makes abso- It is also harder to fight fraud and are 30 percent higher than in the lutely no sense. I hope we will join to- abuse across State lines with this kind United States. When we look at the re- gether in rejecting this approach. of approach. The Department of Agri- tail prices for countries such as One of the strongest features of the culture has been working hard to ac- France, Finland, Japan, Norway, and Supplemental Nutrition Assistance complish this. We have already reduced so on, U.S. sugar prices are actually Program is that, in fact, it can respond trafficking by three-quarters, 75 per- very low. Again, zero cost to the tax- quickly when we have a recession or cent, over the last 15 years, and we payer, and we are maintaining a stable economic conditions that warrant it, want to be able to continue to do that price for our sugar beet growers and when we have a nationwide recession, as well. protection for our sugar beet and sug- when we have a plant closure in a com- So we know that nutrition assistance arcane growers. We are creating jobs munity. We have seen way too many of is a lifeline to the families who need it, and, at the same time, this is where we those, although we are now celebrating but let me conclude by saying that I fall, with the blue line being the USA. the fact that we have plants opening also want to make sure every single I know there are colleagues on both and retooling and expanding. But we dollar goes to the families who need it. sides of the aisle who care about this. have gone through some very tough That is why this reform bill, this bill I argue our sugar policy is one that times with plant closures where fami- that cuts $23 billion on the deficit, also makes sense. It has made sense for the lies have needed some temporary help. focuses on waste, fraud, and abuse in last 10 years at zero cost. I hope we will The important thing about the Supple- the nutrition title because we want to vote to continue to support this policy, mental Nutrition Assistance Program make sure every dollar goes to those which is a very important part to is that it is timely, it is targeted, and families. It is to ensure that every fam- many regions of the country, an impor- it is temporary. Approximately half of ily and every child who needs help re- tant part of the bill that is in front of all of those new families who have ceives help, and we want to make sure us. This policy is supported by a host needed help are getting help for 10 that not one dollar is abused in that of corporations, including the Amer- months or less, so this is actually a process. ican Sugar Alliance, the International temporary program. So what do we have in the underlying Sugar Trade Coalition. We have the We have seen over the years that bill? Well, we have had at least two support of our country’s two largest families receiving supplemental nutri- cases in Michigan where we have had agricultural trade organizations—the tion assistance are much more likely lottery winners who, amazingly, con- American Farm Bureau Federation and to be working families. This is impor- tinue to get food assistance, which is the National Farmers Union. It has tant. We are talking about working outrageous. We stopped that, period. made sense. It has zero cost, and I am families who are working one job or Lottery winners would immediately hopeful colleagues tomorrow will sup- one, two, or three part-time jobs and lose assistance. And hopefully we port continuing this program. trying to hold it together for their wouldn’t have to say that, but the way Let me talk about another amend- families while working for minimum it has been set up, we have to make ment now that goes to a lot of discus- wage. By about the second or third that very clear. It would end misuse by sion on the floor and that goes to the week of the month, there is no food on college students who are actually able nutrition parts, which is the majority the table for the children. So being to afford food and are living at home of the bill that is in front of us. able to help families who are working with their parents. Students going to All across the country the recession hard every day to be able to have that school are not those who would be the has devastated families. Certainly, I temporary help has been life and death, focus of getting food assistance help, so can speak for Michigan, where we have I would suggest, for many families. we would end the misuse by college people who paid taxes all their lives, This is actually a great American students. We would cut down on traf- they have worked very hard, they con- value to have something like this for ficking. We don’t want folks taking tinue to work very hard, and never families who need it. their food assistance card and getting thought in their wildest dreams they According to the CBO—the Congres- cash or doing something else with it would need help putting food on their sional Budget Office—we know the that is illegal. We prevent liquor and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00037 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.067 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3968 CONGRESSIONAL RECORD — SENATE June 12, 2012 tobacco stores from becoming retailers going down through the life of this and I have been pleased to be able to because we want people going into the farm bill and the costs will be going carry on his work as a member of the grocery store or farmers market and down because people are going back to Agriculture Committee. This is a crit- being able to get healthy food with work. That is the way it should be. ical tool for initiatives that restore their dollars. We also deal with a gap I would urge tomorrow that we vote and maintain healthy forest eco- in standards that has resulted in over- against what I consider to be a very ex- systems and provide local employment. payment of benefits as it relates to treme amendment that would cut and The Presiding Officer, I think, was on States. So we deal with what has been block grant the nutrition program and the floor maybe yesterday talking an effort by some States to go beyond vote instead to support what we have about the importance of this to our legislative intent, and we address that done to increase the accountability and timber industry in Colorado and across in a very strategic way. integrity of our food assistance pro- this country. The bottom line is that we are mak- grams. Another truly western aspect of this ing sure we increase the integrity in I yield the floor and suggest the ab- bill I would like to focus on tonight is the food assistance program. We in- sence of a quorum. conservation and specifically the stew- crease the integrity and the account- The PRESIDING OFFICER. The ardship of our western landscape. In ability because we want every single clerk will call the roll. my travels around Colorado, I have dollar to go for help for those families The legislative clerk proceeded to been heartened to see over and over who worked all their lives, paid taxes, call the roll. farmers and ranchers arm in arm with and now find themselves in a place Mr. BENNET. Mr. President, I ask conservation groups and with sports- where the plant closed or where they unanimous consent that the order for men, all in the name of proper steward- lost their jobs and need some help on a the quorum call be rescinded. ship of the land, of protecting our open temporary basis to put food on the The PRESIDING OFFICER (Mr. spaces. They all share the recognition table. UDALL of Colorado). Without objection, that keeping these landscapes in their Let me just share one more time it is so ordered. historical, undeveloped state is an eco- where the dollars go in terms of chil- Mr. BENNET. Mr. President, it is a nomic driver—as family farms, as dren and adults. Nearly half of those great privilege to be here tonight with working cattle ranches; for tourism, who are getting help right now are the senior Senator from Colorado be- for wildlife habitat, and to preserve our children; 47 percent of those who get cause the topic I come to the floor to rural way of life and our rural econo- food help are children. Then we have talk about tonight is the West. Similar mies. Every citizen knows the American those who live with children, who are to the Presiding Officer, I have been West is a destination for those seeking another 24 percent, senior citizens are 8 thinking a lot about our home State of wide-open spaces—a ‘‘home on the percent, and disabled people are an- Colorado because we currently have a range,’’ as they say, a way of life that other 9 percent. So the vast majority terrible wildfire burning just west of Fort Collins. Susan and I and the girls is focused on working the land and the we are talking about are children, fam- wise stewardship of our natural re- ilies, parents caring for children, the went up to Jamestown this weekend—I think I told the Presiding Officer this sources. We also know that as we have disabled, or seniors. grown as a country, there has been in- The amendment we will be voting on earlier—and dropped them off at camp, creasing development pressure on this tomorrow is an extreme amendment and that is far away from where this way of life and on the landscape. That that would take away temporary help fire is. It is on the other side of Estes pressure is exactly why the farm bill’s Park. But even from there, we could for families and children who need it. conservation title is so vital to people see an incredible plume of smoke, and Rather than taking that approach, we in the West. take the approach of accountability. in the 45 minutes or so we were there, I serve as chairman of the Conserva- So as we look one more time at ac- I would say the volume of that plume tion Subcommittee of the Senate Agri- countability, we can see we are tight- of smoke increased by three-or fourfold culture Committee, and through the ening all of the areas where there has and we could tell something terrible dozens—literally dozens—of farm bill been abuse. We want every dollar to go was going on. listening sessions I have held over the where it should go, but at the same As the Presiding Officer knows better last 18 months, farmers and ranchers time we don’t want to forget the chil- than anybody in this Chamber, this were always talking about the impor- dren or the families of this country devastating fire has destroyed over 100 tance of conservation; conservation of who are counting on us. structures and has tragically claimed their way of life and conservation of We have several different kinds of one life and endangered many others. their land, particularly the use of con- programs that relate to disasters in the In fact, as we stand in this Chamber to- servation easements which help land- farm bill. We have one called crop in- night, there are many endangered by owners voluntarily conserve the farm- surance where if there is a weather dis- this fire. At over 43,000 acres and grow- ing and ranching heritage of their land, aster or price disaster, we want to be ing, it is the third largest fire in Colo- a heritage that is so important to our there. We don’t want any farmer to rado’s history. State and to the entire West. lose the farm because there are a few Today, I think I can say for both of So I wished to spend a few minutes days of bad weather or some other kind us, our thoughts go out to the family sharing some of the stories Coloradans of disaster beyond their control. It is who lost a loved one and to the hun- have shared with me and, maybe more called crop insurance, and we strength- dreds of firefighters who are bravely important than that, showing our col- ened risk management tools in this working on the ground as we are here leagues what this looks like. Of course, bill. tonight. We wish them well and we we live in the most beautiful State of Well, there is another kind of dis- wish them success in battling this all 50 States, in Colorado. This photo is aster assistance in this bill, and that is blaze. from the Music Meadows Ranch outside for families across this country. It is As the Presiding Officer knows, Westcliffe, CO, elevation 9,000 feet. On for children, it is for seniors, and it is wildfires are simply part of life in the these beautiful 4,000 acres, Elin for the disabled. It is called the nutri- West. Managing our land to improve Ganschow raises some of the finest tion title, and that is why it is there in resiliency needs to be a focus of ours in grass-fed beef in the country. Thanks case of a family disaster. We have too this Congress. That is why I am to the Grassland Reserve Program, many middle-class families who are pleased, as a member of the Committee Elin’s ranch now has a permanent con- asking for help now. They are grateful, on Agriculture, to say the farm bill re- servation easement. So this beautiful didn’t want to ask, and mortified they authorizes stewardship contracting, land will likely always have someone have to ask, but they are in a situation which allows our Federal land manage- running cattle on it. where they need temporary help, and ment agencies to implement high pri- This photo I have in the Chamber is that is why it is here. ority forest management and restora- from the San Luis Valley, where my The good news is that with the unem- tion projects. Much of the Presiding Of- predecessor, Ken Salazar, is from. Fif- ployment rate going down, the assist- ficer’s career has had to do with these teen different conservation ease- ance is going down. The budget will be programs. I thank him for his support, ments—finalized by the Colorado

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00038 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.068 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3969 Cattlemen’s Agricultural Land Trust— ing member, is the only committee I Delford McKnight is the founder of protect nearly all of the private land am aware of in this entire Congress— McKnight & Associates, a successful over a 20-mile stretch in the valley. the House or the Senate—that has ac- industrial construction company that The great work of the Cattlemen’s tually come up with a bipartisan con- built and renovated numerous struc- Agricultural Land Trust, aided by the sensus on deficit reduction. I thank the tures in Laurel and surrounding coun- programs in the farm bill conservation ranking member and the chairwoman ties. title before us, is protecting our west- for their leadership, for setting a Born in 1946, Mr. McKnight grew up ern way of life in Colorado. model, an example for the other com- on a small family farm 6 miles from This beautiful picture is also from mittees that are working—or should be London, KY. He attended Bush Elemen- the valley. This is not a movie set, by working—to get our deficit under con- tary School and Bush High School, the way. This is how we live our lives trol. where he gained an interest in agri- in the great State of Colorado and why I might say, $6.4 billion of those cuts culture and construction. Taking class- these programs have been so impor- do come from conservation, not all of es in agriculture and woodworking, as tant. which I like. But we made difficult well as other college prep classes, he Finally, I want to share one more compromises at the committee level. earned the title ‘‘Boy Most Likely to Colorado story about preserving our We have a more efficient conservation Succeed’’ from his senior class. After graduating high school, Delford State’s fruit orchards. Most people do title that won support from both sides went on to attend the University of not know this, as I have traveled the of the aisle, and we ought to move this Kentucky for 1 year before leaving to country—and I imagine Senators ISAK- bill forward. pursue a career in construction. In 1964, SON and CHAMBLISS from Georgia might I know there has been a little bit of he married his first wife, Helen Owens even be surprised to hear—Colorado is the usual back-and-forth about amend- McKnight. The couple moved to Lex- a national leader in the production of ments that are not necessarily related peaches. This picture is of a peach or- ington, where they ran a local Laun- to the topic at hand, and we have a dromat and managed an apartment chard in Palisade. habit of doing that in the Senate. I My friends from California might complex. On the side, Delford also hope there can be an agreement worked for a construction company. In also be interested to know that Colo- reached by the leadership so we can rado has a burgeoning wine industry as 1965, the two moved back to their move this critically important bill for- hometown, where Mr. McKnight took a well. In Colorado’s Grand Valley, pic- ward. tured here, conservation programs job with the Hacker Brothers construc- Again, at a time when so much par- tion firm. have been efficiently employed to pro- tisan bickering is going on around this Three years later, Delford opened his tect 14 family farms growing peaches place, to have seen the fine work that first construction business, McKnight and wine grapes among other things. was done by this committee—Repub- Construction and Blueprint Company, The Federal investments made avail- licans and Democrats working to- in London, KY, today known as able to protect these lands have not gether—to strengthen this commodity McKnight & Associates. This construc- only ensured they will stay in agricul- title, create real deficit reduction, and tion firm is responsible for building tural production, but the resources actually end direct payments to pro- and renovating many of the buildings provided from the Natural Resource ducers—one of the most significant re- in the community, including the Clay Conservation Service, NRCS, help forms in agricultural policy that we County Vocational School, the Board these family farms acquire new land to have had around this place in decades— of Education building in Manchester, plant and new equipment to plant it. it would be a shame—worse than a and the first building of the Laurel Mr. President, as you can see—and as shame; it would be terrible—to let that Campus of Somerset Community Col- you already know—conservation is an work go to waste. lege. Along with these, Mr. McKnight integral part of what we are all about With that, Mr. President, the hour is also built North Laurel Middle School, in the West. It helps define who we are. late. I am going to stop so we can as well as Hunter Hills Elementary Sometimes people only focus on con- close. I thank the Presiding Officer School and the new Bush Elementary serving public land in its undeveloped very much and say again what a privi- School. In the early 1970s, McKnight & state, and that is an important endeav- lege it was to be able to talk about our Associates got the contract for the or in Colorado and across the West. But home with him in the chair. Kentucky Fried Chicken building in private land conservation—the type So with that, I yield the floor and London, and later renovated Sanders aided by the farm bill—is critical for so suggest the absence of a quorum. Cafe and the Corbin KFC. many reasons: to protect the agricul- The PRESIDING OFFICER. The Aside from his construction work, tural heritage of the land, and for wild- clerk will call the roll. Mr. McKnight also became involved life habitat: elk, bighorn sheep, pheas- The assistant legislative clerk pro- with several other business ventures. ant, Colorado cutthroat trout—the list ceeded to call the roll. He was the first to bring the idea of goes on and on—so many of the prized Mr. BENNET. Mr. President, I ask self-storage units to southeastern Ken- species that are important to our Na- unanimous consent that the order for tucky, opening the first self-storage fa- tion’s sportsmen and nature lovers. the quorum call be rescinded. cility there in 1976. He also founded Finding open landscapes and the spe- The PRESIDING OFFICER. Without Lee-Mart Rent-to-Own Stores, which cies that inhabit them are a funda- objection, it is so ordered. later sold to Aaron’s, Inc., and he co- mental part of what it is to be in the f founded Cumberland Valley Office Sup- West. We need to preserve these open pliers, Inc., a retail office supply store. spaces. That is what this title does. I MORNING BUSINESS After becoming involved with the Lon- strongly support this new conservation Mr. BENNET. Mr. President, I ask don-Laurel County Tourist Commis- title as reported out of the committee unanimous consent that the Senate sion, Delford developed the idea of the on a bipartisan vote. proceed to a period of morning busi- ‘‘World Chicken Festival’’ in 1989 to I know some would look to amend ness, with Senators permitted to speak highlight Colonel Sanders’s cooking this bipartisan consensus, to cut con- therein for up to 10 minutes each. worldwide, a festival that is still joy- servation resources in the name of def- The PRESIDING OFFICER. Without ously celebrated to this day. icit reduction or to apply it to some objection, it is so ordered. Mr. McKnight has held many leader- other purpose. I am the first to say we f ship positions throughout Kentucky. need to cut our deficit. We need to put He is a past secretary of the Laurel the entire budget under a microscope— TRIBUTE TO DELFORD MCKNIGHT County Chamber of Commerce, the including agriculture—to cut waste Mr. MCCONNELL. Mr. President, first president of the Southeastern and eliminate redundancies. And, by today I wish to recognize Mr. Delford Kentucky Home Builders Association— the way, we have. McKnight of Laurel County, KY, for from which he received the Time This committee—the Senate Agri- his lifetime of contributions in busi- Award, and the current director of culture Committee—under the leader- ness as well as his many years of public First National Bank & Trust in Lon- ship of the chairwoman and the rank- service to the State of Kentucky. don, Kentucky. He also served as a

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00039 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.070 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3970 CONGRESSIONAL RECORD — SENATE June 12, 2012 member of the Cumberland Private In- since overseen the renovation of the first McKnight’s love of variety also earned him dustry Council, the Cumberland Valley building of the Laurel campus of Somerset a spot in the March/April 1991 edition of Ken- ADD Board, and the London-Laurel Community College, the former Interstate tucky Builder for his uniquely styled home County Tourist Commission. Mr. Coal offices on the property now known as in London. He has carried that variable in- College Park. His company built the former terest into the design of his home in Florida McKnight serves as a member and administration building, now known as the that he shares with wife of more than 11 chairman of the 13th Regional Voca- McDaniel Learning Center. He built North years, Lottie Gail. tional Advisory Council and was a 25- Laurel Middle School, Hunter Hills and the ‘‘I’ve had a good life but I’ve always been year member on the Corbin Tri-County new Bush elementary schools as well as hav- lucky to have great employees, most of Joint Industrial Development Author- ing his hand in school construction in Clay whom have worked all their lives in this ity. He was also honored by the Laurel and Perry counties. McKnight and Associ- business. It’s the people who keep you in County Homecoming Festival for his ates landed the contract for the Eastern business—not just the customers, but the Kentucky University site in Clay County and people who work with you.’’ service to the community in 2007. the University of Kentucky site in Harlan. In 1989, Delford completed construc- Though he credits his family background f tion on his ‘‘dream executive home’’ in of carpentry and farming for sparking his in- AMENDMENTS TO REGULATIONS London, Kentucky, and he recently terest in the construction business, he said ADOPTED BY THE COMMITTEE completed the construction and land- the shop and vocational agriculture classes ON RULES AND ADMINISTRATION scaping on his second home in Venice, in high school solidified his choice of ca- reers. Mr. SCHUMER. Mr. President, I wish Florida. He has recently quietly re- ‘‘I was raised on a farm and I think I could to inform all Senators that on Friday, tired, although he still helps with man- have been a farmer just as easily as I could May 25, 2012, the Committee on Rules agement decisions regarding his invest- do construction,’’ he said. ‘‘But I knew more and Administration adopted amend- ments and business interest. Delford about commercial construction than about ments to the following regulations: has been married to Lottie Gail since building houses, so that’s what I pursued. I took college prep classes in high school but Senate Office Building Regulations; and January 2001 after his first wife, Helen, Smoking Policy—Rules X, Rules for Regu- died of cancer. Delford and Lottie Gail I’ve utilized the skills in agriculture and shop classes more than any college prep class lation of Senate Wing. have a combined family of 5 children I had.’’ These regulations as amended are ef- and 12 grandchildren. A big believer in education, McKnight en- fective immediately. Delford is still an active member of courages students to pursue a field they Mr. President, I ask unanimous con- the Laurel community today, serving enjoy and to bask in the opportunities they sent that the text of the regulations as as a deacon and Sunday school teacher receive through their education and training amended be printed in the RECORD. at United Baptist Church, a member of courses. ‘‘Get as much education as you possibly There being no objection, the mate- the Laurel County Chamber of Com- can, whether it’s job training or vocational rial was ordered to be printed in the merce, a member of the Laurel County training or whatever you’re interested in,’’ RECORD, as follows: Vocational Advisory Council, and a he continued. ‘‘You always need to continue member of the London-Laurel County to learn. Find something you like to do and RULE X Tourist Commission. pursue it.’’ Smoking is prohibited in all public places At this time I ask my U.S. Senate McKnight’s career choice also led to his in- and unassigned space within the Senate volvement with community activities. In the Wing of the Capitol, the Senate Office Build- colleagues to join me in recognizing early 1970s, his firm landed the contract for Mr. Delford McKnight for his many ings, and within twenty five feet from the the Kentucky Fried Chicken building in Lon- entrances thereto. Smoking is also prohib- contributions to the Laurel County don. Later on, he was involved in the renova- ited under the carriage entrance and the community and the Commonwealth of tion of Harland Sanders’s first restaurant— East Portico connected to the Senate Wing Kentucky. An article from the Laurel Sanders Cafe and the Corbin KFC. He also of the Capitol. Each Senator, Chairman of a County-area publication the Sentinel- built the London-Laurel County Tourism of- Committee (after consultation with the Echo recently highlighted Mr. fice and became familiar with board mem- Ranking Member), the Secretary of the Sen- McKnight’s success and accomplish- bers for that organization. When he kept ate, the Sergeant at Arms, the Architect of hearing about increasing tourism in Ken- ments. I ask unanimous consent that the Capitol, the Chaplain, and heads of sup- tucky through festivals, it was he who ap- port organizations assigned space in the Sen- said article be printed in the RECORD. proached then-tourism director Ken Harvey ate Wing of the Capitol or the Senate Office There being no objection, the mate- and long-time board member Caner Cornett Buildings may establish individual smoking rial was ordered to be printed in the with the idea of the World Chicken Festival policies for office space assigned to them. RECORD, as follows: that highlighted Sanders’s achievements worldwide. SENATE OFFICE BUILDING REGULATIONS [From the Sentinel-Echo, Apr. 30, 2012] But being one of the ‘‘firsts’’ involved in The members of the Committee on Rules TAKING CHANCES PAID OFF FOR MCKNIGHT the highly ranked fall festival is just one and Administration hereby issue the fol- (By Nita Johnson) more of McKnight’s ‘‘firsts.’’ lowing regulations: While a student at UK in 1963, McKnight ARTICLE I—DEFINITIONS Variety and challenges could well describe was one of those freshmen who challenged the life of Laurel native Delford McKnight. the football team to a snowball fight that Sec. 101. As used in these regulations, the ‘‘I always like a challenge,’’ McKnight has now become a tradition. Though he does term— said, ‘‘and I like variety.’’ not to this day recommend anyone challenge (1) ‘‘Senate Office Buildings’’ means the While his office is testimony to a variety a UK football player in any form of physical Richard Brevard Russell Office Building, the of collectibles and what-nots, so is his life’s challenge, he still laughs about the experi- Everett McKinley Dirksen Office Building, work. ence. the Philip A. Hart Office Building, the ga- With his roots in carpentry and farming, He was the sole sixth-grade student at the rages used in connection with such Build- McKnight graduated from Bush High School one-room Langnau School before having to ings, all buildings and other structures and attended the University of Kentucky. attend Bush Elementary the following year (other than the Capitol Building or any part ‘‘I went for a year, quit, and got married,’’ as one of 20 other seventh-grade students. thereof) under the jurisdiction and control of he said. He was the first to bring the idea of stor- the United States Senate, and all subways He and his wife, Helen Owens McKnight, age buildings to London—a challenge for and enclosed passages connecting two or who died from cancer in 2000, ran a Laun- both his crews as well as a business venture. more such buildings or structures and the dromat and managed a rental apartment in ‘‘I kept seeing these storage buildings in United States Capitol Building; Lexington while Delford also worked for a bigger towns and wondered if there would be (2) ‘‘Authorized person’’ means— commercial construction company. a need for that in London,’’ he explained. a. Any Member of Congress; or In 1965, the McKnights returned to their ‘‘Self-storage actually began in California. b. Any officer or employee of the Senate or hometown, where Delford landed a job with The ones I built were used as an experiment of any Member thereof, any officer or em- Hacker Brothers construction firm. Four here, mostly to keep my men working. We ployee of the Congress, or any officer or em- years later, McKnight and partner Harold had a lull after building the (McKnight) ployee of any committee or subcommittee of McPhetridge launched McKnight and Associ- apartments and I mainly just wanted to keep the Senate or of the Congress; ates, which has constructed and/or renovated the men working so we built the storage (3) ‘‘Credentialed Member of the Press or many of the buildings in the county. units. It was one of the first ones east of the Media of News Dissemination’’ means any re- His first ‘‘big’’ job came with the construc- Mississippi and was unheard of in small porter for a newspaper or periodical, reporter tion of the Clay County Vocational School, towns, but now look around and see how of news or press association requiring tele- then getting the contract to build the Board many storage buildings there are around graph service to his/her membership, or a re- of Education building in Manchester. He has here.’’ porter for news dissemination through radio,

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00040 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.055 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3971 wire, wireless, and similar media of trans- lic. In no case shall such individual be au- charged, or to remain in such Buildings fol- mission, who is authorized to use the report- thorized by reason of this section to remain lowing the completion of such services or du- er’s galleries in the House of Representatives in any part of the Senate Office Buildings ties. or the Senate, or any other adjoining rooms other than such part within which such hear- ARTICLE IV—MISCELLANEOUS PROVISIONS or facilities made available for the use of the ing or deliberations or special event author- Sec. 401. Nothing in these regulations shall media of news dissemination. ized by the Senate are being conducted or be construed as prohibiting any individual (4) ‘‘Auxiliary Personnel’’ means any em- carried out, or to remain in the Senate Office from entering or remaining in the Senate Of- ployee of a daily newspaper or periodical, Buildings following the adjournment or re- fice Buildings during any period that such news or press association, or of any radio, cess of such hearing or deliberations. Buildings or part thereof are closed, if such wire, wireless or similar media, whose serv- Sec. 304. (a) Any individual shall be per- individual’s entering or remaining therein is ices are necessary in connection with any mitted to enter or remain in the Senate Of- necessary in connection with the health or ‘‘Credentialed Member of the Press or Media fice Buildings during any period that such safety of any other individuals therein, the of News Dissemination’’ carrying out his du- buildings are closed, for the purpose of at- protection of life or property therein, or any ties as such. tending any hearing before, or any delibera- other emergency requiring the entering or (5) ‘‘Contract Employee’’ means any indi- tions of, any committee or subcommittee of remaining of such individual within the Sen- vidual who is an officer or employee of any the Senate or of the Congress, which is being ate Office Buildings or such part. corporation or other entity, pursuant to any conducted within such Buildings, and which Sec. 402. In any case in which a function or contract or other agreement entered into be- is not open to the public, if the presence of other activity is held by any authorized per- tween such corporation or entity and an offi- such individual at such hearing or delibera- son in any office or other room assigned to cer or employee of the United States Senate, tions is authorized or required by the Chair- such person and located in the Senate Office or the Congress, or any committee or sub- man of such committee or subcommittee. In Buildings or in which a function or other ac- committee thereof. no case shall such individual be authorized tivity is held by any Member of the Senate by reason of this section to enter or remain ARTICLE II—CLOSING TIME FOR THE SENATE in a room located in such Buildings and in any part of the Senate Office Buildings OFFICE BUILDINGS which is made available to such Member for other than such part within which such hear- Sec. 201. On and after the effective date of that purpose by the Senate Committee on ing or deliberations are being conducted or Rules and Administration, any individual these regulations, the Senate Office Build- carried out, or to remain in the Senate Office ings shall be closed to any individual other shall be permitted to enter or remain in such Buildings following the adjournment or re- Buildings during any period that such Build- than an Authorized person, Credentialed cess of such hearing or deliberations. Member of the Press or Media of News Dis- ings are closed for the purpose of attending (b) Nothing in these regulations shall be such function or activity, if such individual semination, or Contract Employee or an in- construed as prohibiting any Credentialed dividual within the purview of section 301, is there by reason of an invitation extended Member of the Press or Media of News Dis- by such authorized person. In no case shall 302, 303, 304, 305, 306, 307, 401, 402, 403, or 404 semination or Auxiliary Personnel approved of these regulations as follows: such individual be permitted by reason of by the Superintendent of the House or Sen- this section to enter or remain in any part of (1) The Senate Office Buildings shall be ate Press Gallery, Press Photographers Gal- closed Monday through Friday from 8:00 p.m. the Senate Office Buildings other than such lery, Radio-Television Gallery, or Periodical part within which such function or activity until 7:00 a.m. on the next business day, ex- Press Gallery, from entering or remaining in cept during published recess hours when such is being carried out, or to remain in such the Senate Office Buildings within which Buildings following the termination of such buildings are closed at 7:00 p.m. such hearings or deliberations are being con- (2) The Senate Office Buildings shall be function or activity. ducted, but such member or personnel shall Sec. 403. (a) The Sergeant at Arms of the closed for all National holidays from 8:00 not be authorized, by reason of this sub- Senate, or designee, or the United States p.m. on the day preceding such holiday until section to attend any such hearing or delib- Capitol Police is authorized, at any time, to 7:00 a.m. on the next business day following eration which is not open to the public. issue an order temporarily closing the Sen- such holiday unless such buildings are other- Sec. 305. Nothing in these regulations shall ate Office Buildings or any part or area wise closed in accordance with clause (1) of be construed as prohibiting any Credentialed thereof, or temporarily cordoning off any this section. Member of the Press or Media of News Dis- part or area of the Senate Office Buildings, if (3) Notwithstanding the provisions of para- semination or Auxiliary Personnel approved he/she or designee determines that such clos- graphs (1), and (2), of this section, the Senate by the Superintendent of the House or Sen- ing or cordoning off is necessary in order to Office Buildings shall be open to the public ate Press Gallery, Press Photographers Gal- assure the security or safety of any Member all times during which the Senate is in ses- lery, Radio-Television Gallery, or Periodical of Congress, the President of the United sion, except that the Senate Office Buildings Press Gallery, from entering or remaining in States, the Vice President of the United shall be closed to the public after the expira- the Senate Office Buildings during any pe- States, or any other person, the preservation tion of the thirty minute period following riod that such Buildings are closed, for the of the peace or good order, the securing of the termination of such session unless such purpose of carrying out his duties as such, or the Senate Office Buildings from deface- session is terminated during the period that utilizing any rooms or facilities set aside for ment, or the protection of the public prop- such Buildings are not otherwise closed to the use of such member. erty therein. the general public in accordance with para- Sec. 306. Nothing in these regulations shall (b) No individual (other than an authorized graphs (1), or (2), of this section. be construed as prohibiting any employee of person or an individual within the purview of (4) Notwithstanding the provisions of para- a Member of the House of Representatives, Section 401 of these regulations) shall be per- graphs (1), (2), and (3) of this section, the or any officer or employee of the House of mitted to enter or remain in the Senate Of- Rules Committee may alter these hours for Representatives, or of any committee or sub- fice Buildings, or any part or other area of any purpose in consultation with the U.S. committee of the House of Representatives, any such Buildings, during any period that Capitol Police and the Sergeant at Arms. or any individual in the company of any such such Buildings, part, or area are closed pur- ARTICLE III—INDIVIDUALS ENTITLED TO officer or employee, from entering the Sen- suant to subsection (a); except that nothing ADMISSION TO THE SENATE OFFICE BUILDINGS ate Office Buildings during periods that such in this section shall be construed as prohib- Sec. 301. Any individual shall be permitted Buildings are closed, solely for the purpose iting any individual accompanied by a Mem- to enter or remain in the Senate Office of utilizing such Buildings as a passageway, ber of the Senate from accompanying such Buildings during any period that such Build- except that such officer or employee and in- Member to an office or other room assigned ings are closed, if such individual is accom- dividual shall be required to comply with the to that Member notwithstanding the fact panied by a Member of Congress or other au- provisions of section 404 (a). that such office or room is located within thorized person. Sec. 307. A Contract Employee who is au- any such Buildings, part, or area closed pur- Sec. 302. Any individual shall be permitted thorized to perform services or other duties suant to this section, but such individual to enter or remain in the Senate Office within the Senate Office Buildings, shall be shall not be authorized to remain in any part Buildings during any period that such Build- permitted to enter or remain within the Sen- of such Buildings other than that part within ings are closed, if such individual has a prior ate Office Buildings, during any period that which such office or room is located. appointment to meet with any Senator or such Buildings are closed, if such individ- Sec. 404. (a) Except to the extent otherwise authorized person. In no case shall such indi- ual’s entry or remaining therein is necessary provided in subsection (b) of this section, vidual be permitted by reason of this section in connection with the performance of such any individual, including an authorized per- to remain in the Senate Office Buildings fol- services or the discharge of such duties as son (other than a Member of Congress) au- lowing the termination of appointment. provided for under the aforementioned con- thorized pursuant to these regulations to Sec. 303. Any individual shall be permitted tract or agreement. All Contract Employees enter or remain in the Senate Office Build- to enter or remain in the Senate Office are required to obtain and display a valid ings during the period that such Buildings Buildings during any period that such Build- Congressional Identification Badge. No Con- are closed pursuant to these regulations, ings are closed, for the purpose of attending tract Employees shall be authorized by rea- shall be required to present a valid Congres- any hearing before, or any deliberations of, son of this section to enter or remain in any sional Identification Badge, or in the case of any committee or subcommittee of the Sen- part of the Senate Office Buildings other visitors, a valid government-issued ID, and ate or the Congress, or special event author- than such part within which such services to sign in or out, or both (as the case may ized by the Senate which is open to the pub- are to be performed or such duties dis- be).

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00041 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.002 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3972 CONGRESSIONAL RECORD — SENATE June 12, 2012 (b) (1) The provisions of subsection (a) of ARTICLE V—PACKAGE INSPECTION Analysis, the Office of Iraq Analysis, this section shall not be applicable with re- Sec. 501 (a) On and after the effective date and the Office of Terrorism Analysis in spect to any individual or individuals who of these regulations, any individual entering the Counterterrorism Center. He also are accompanied by a Member of Congress, the Senate Office Buildings carrying or hav- worked in a variety of assignments except that the Officer on duty at the af- ing any briefcase, attache´ case, luggage, tote fected entrance shall record on the sign-in or outside the CIA before coming to the bag, shopping bag, or other container or item NCTC, including time at the Depart- sign-out record, or both (as the case may be), the contents of which are not readily visible the name of the Member of Congress, the to the officer or member of the Capitol Po- ment of State, the Nonproliferation number of such individuals whom the Mem- lice on duty, shall be required to submit such Center, and the National Intelligence ber is accompanying, the time such Member item to the officer on duty for security Council. and individual or individuals were checked- screening. But it was during his time at the in, or checked-out, or both (as the case may (b) On and after the effective date of these NCTC that Andy came to be one of the be), and their destination within the Senate regulations, the provisions of subsection (a) Nation’s top counterterrorism officials Office Buildings following their entry. of this section shall not be applicable with and a true leader of the intelligence (2) The provisions of subsection (a) of this respect to any individual entering the Sen- section will not be applicable with respect to community. He has worked closely ate Office Buildings carrying or having a with the NCTC’s three Directors: ADM any individual within the purview of section briefcase, attache´ case, or other container or 401 of this regulation who is entering or leav- item referred to in subsection (a) of this sec- Scott Redd, Michael Leiter, and now ing the Senate Office Buildings under cir- tion which, as reported by such individual, Matt Olsen. And he has diligently kept cumstances involving an emergency, or to contains classified documents or materials the Senate Intelligence Committee in- any authorized person during the period of under Presidential Seal, delivered by formed on the terrorist threat—as a 8:00 p.m. to 7:00 a.m. each calendar day, if credentialed U.S. Government carriers. Such hearing witness and as a briefer to Sen- such person is otherwise identified by the of- items will be subjected to electronic inspec- ators and staff and also on the phone to ficer at the affected entrance. tion or X-ray but shall not be opened. Sec. 405. (a) In recognition of the obliga- describe imminent or breaking coun- (c) No sealed packages or envelopes shall terterrorism operations. tion imposed on the Senate Committee on be delivered directly into any Senate Office Rules and Administration for the control Building. Any sealed envelopes or packages When the committee has had to re- and supervision of the Senate Office Build- must be delivered to the Congressional Ac- solve a problem in the counterterror- ings, on and after the effective date of these ceptance Site (CAS) for inspection, testing ism arena, whether getting informa- regulations, no individual shall: and retention. Once cleared, the items will tion or fixing processes that weren’t (1) Act in a manner so as to cause a dis- be delivered to the office of the addressee by working, Andy was usually the person turbance unreasonably interfering with the Senate Post Office employees who will ob- to solve it. preservation of peace and good therein; or tain a signature from the recipient. He has served with a direct, frank (2) Congregate with another individual or (d) If any individual subject to the require- professional manner, although Andy individuals in any corridor, hallway, pas- ment of subsections (a), (b), or (c) of this sec- has quite the reputation for being a sageway, rotunda, or other public space in tion, when ordered by an officer of the U.S. the Senate Office Buildings in a manner so Capitol Police to comply refuses or fails to lively and fun boss as well. as to: do so, such individual shall, when ordered by Mr. Liepman’s legacy is the strength a. Unreasonably interfere with the passing the Sergeant-at-Arms of the Senate, or des- and reputation of the National Coun- or movement of any other individual ignee immediately leave the Senate Office terterrorism Center and particularly through such corridor, hallway, passageway, Buildings by means of the closest available its Directorate of Intelligence. Since rotunda or other public space; or exit. The refusal or failure of such individual its creation in 2005, the NCTC has de- b. Create any unreasonable risk to such to immediately so leave such Buildings after veloped into a world-class analytic or- works of art or other public property there- being so ordered shall constitute an unlawful ganization. It produces thousands of re- in; remaining in the Senate Office Buildings ports a year, from hour-to-hour situa- (b) And in no case shall any individual, at subject to the criminal penalty provisions in any time, sit, lie, or crouch down upon the 22 D.C. Code § 3302. tional reports when terrorist threats floor or any other area of such corridor, hall- (e) The provisions of this section shall not are unfolding, to daily analyses, to de- way, passageway, rotunda, or other public be applicable with respect to any Member of tailed, comprehensive products. The space (including sitting, lying or crouching Congress. NCTC leads interagency reviews and on any chair, bench, cot, stool, or other de- ARTICLE VI—EFFECTIVE DATE speaks for the intelligence community vice) except that nothing in this section Sec. 601. These regulations shall take ef- on key intelligence questions. It pro- shall be construed as prohibiting any indi- fect as of the date of their approval. duces tailored reports to answer policy vidual (not otherwise in violation of this sec- tion) from sitting on any chair, bench, cot, f questions—I recently requested one myself, on whether the Haqqani Net- stool, or other device authorized for such ADDITIONAL STATEMENTS purposes by the Congress, the Senate, or any work in Pakistan meets the criteria to committee or subcommittee thereof, or any be named a foreign terrorist organiza- officers of the Congress, or the Senate. tion. (c) If any individual engaging in any con- TRIBUTE TO ANDREW LIEPMAN Under Andy’s leadership, along with duct prohibited by this section, when ordered ∑ Mrs. FEINSTEIN. Mr. President, the Directors with whom he has by any officer of the U.S. Capitol Police to Today I wish to recognize an unsung worked, the National Counterterrorism cease and desist in such conduct, refuses or hero of the U.S. intelligence commu- Center has also grown to fill the role fails to do so, such individual shall, when or- nity and upstanding San Franciscan, dered by the Sergeant-at-Arms of the Sen- for which it was created. Among other ate, or designee immediately leave the Sen- Mr. Andrew Liepman, who is retiring things, the NCTC now includes Pursuit ate Office Buildings by means of the closest from the U.S. Government after 30 Groups, formed after the Christmas available exit. The refusal or failure of such years of service. Day 2009 attempted airline bombing, to individual to immediately so leave such I came to know Andy when he joined make sure that no terrorism lead goes Buildings after being ordered to do so by the the National Counterterrorism Center, unchecked. The center is the single re- Sergeant-at-Arms of the Senate or designee or NCTC, as the Deputy Director of In- pository of the government’s definitive shall constitute an unlawful remaining in telligence in 2006. He has served in that terrorism databases, which supports the Senate Office Buildings subject to the position and as Principal Deputy Direc- criminal penalty provision in 22 D.C. Code the various watchlists that keep sus- § 3302. tor for the past 6 years. Andy has been pected terrorists from boarding a plane (d) In any case in which an individual en- a friend to the Senate Intelligence or crossing the border. The NCTC plays ters or remains in the Senate Office Build- Committee and a dedicated leader of a key role in coordinating the govern- ings in violation of these regulations, such our Nation’s counterterrorism efforts. I ment’s preparation and response to ter- individual, when ordered by the Sergeant-at- am sorry to see him leave the NCTC rorist events, enhancing border and Arms of the Senate or designee to leave such and the government but wish him the transportation security, and sharing Buildings, shall immediately leave the Sen- very best as he plots his future course. terrorism-related intelligence with ate Office Buildings by means of the closest Andy has had a distinguished career available exit. The refusal or failure of such other intelligence agencies, the rest of individual to leave after being so ordered in the intelligence community since he the Federal Government, and with shall constitute an unlawful remaining in joined the CIA in 1982. He served in State, local, and tribal partners. Senate Office Buildings subject to the crimi- multiple positions at the CIA, at the A lasting reflection of Andy’s work is nal penalty provisions in 22 D.C. Code § 3302. Office of Near East and South Asian the NCTC workforce itself. Many of its

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00042 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.002 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3973 analysts and operators are detailed Long before many other corporate Rather than a ‘‘moment of politics’’ for from around the intelligence commu- leaders recognized that profit and envi- the Congress, Dave urged us to act re- nity, and these positions have become ronmental protection can go hand-in- sponsibly and reach a ‘‘moment of valued assignments. With the large hand, Dave was pushing for alter- truth.’’ growth of intelligence personnel work- natives to hydrofluorocarbons—HFCs— Mr. President, 60 is an age where ing on counterterrorism since Sep- potent greenhouse gases. Now, the rest many feel it’s appropriate to start tember 11, 2001, Andy has been a teach- of the world is catching up. Just re- slowing down. But anybody who has er, mentor, and supervisor for a genera- cently, Secretary Clinton announced ever met Dave knows that is not going tion of analysts. People across the in- she was making HFC reduction a pri- to happen—he is anything but predict- telligence community would seek out ority through the Climate and Clean able or conventional, and he is not positions working for Andy and at the Energy Air Coalition to Reduce Short- about to slow down, and that is good NCTC, and his efforts to develop them Lived Climate Pollutants, and Honey- news for our country when it comes to into expert professionals is a key rea- well is there, ready to race ahead with this always thoughtful, always earnest son that the NCTC is capable of the the alternatives we need. For Dave public citizen. work it does today. Cote, that is typical—because Dave is My hope—and my belief—is that I understand that after 30 years in always one step ahead. Dave Cote will spend his sixties the government service and 6 years in the I say this having had the chance to same way he has spent his last decades: grueling environment of the NCTC, it work unbelievably closely with him proving every day that doing the right is time for Andy to move on. I am over the last couple of years. The sheer thing can also be good business and pleased that he will have some time number of emails and phone calls we’ve good for our country. with his family, his mother Marianne, exchanged, not to mention his regular I wish Dave a very happy birthday, and his two brothers, who all live in presence in the Foreign Relations Com- and I look forward to working with California. It has been a long time mittee’s room in the Capitol, reflect him for many years to come.∑ since Andy graduated from the Univer- his energy and his interest in trying to f sity of California at Berkeley—with a get Washington to deal in facts and re- degree in forestry, no less—and I wish spond to reality. They also exemplify TRIBUTE TO FLOYD WILLIAMS him well as he heads back to California why I love working with him—he is a ∑ Mr. PRYOR. Mr. President, the end and wherever else his future may lead. roll-up-your-sleeves, no drama, get-it- of May marked the end of an era at the Mr. President, the intelligence com- done kind of guy. It also doesn’t hurt Internal Revenue Service. Floyd Wil- munity is filled with men and women that he is also a big Red Sox fan—he liams, a fellow Arkansan, has served as who serve this Nation with dedication has Boston jerseys adorning his office the Director of Legislative Affairs at and skill and who are never properly at Honeywell—and he loves riding mo- the IRS for the last 16 years. On May recognized for their efforts and their torcycles—you can find him tooling 31, 2012, Floyd served his last day with contribution. I am pleased to be able to around the Jersey suburbs on his Har- the IRS, and I rise today to thank him honor one of them today and give ley most weekends. for his many years of service to our Na- thanks on behalf of the committee for In 2009 and 2010, Dave, JOE LIEBER- tion. his career of service.∑ MAN, LINDSEY GRAHAM, and I spent long Floyd began his government service f hours working together on an effort many years ago serving as a congres- TRIBUTE TO DAVE COTE around a comprehensive climate sional page for the late, great Senator from Arkansas, J. William Fulbright. ∑ change bill. And when we needed some- Mr. KERRY. Mr. President, I want to one to help convey to some of our more Captivated by the energy of Wash- take a moment of the Senate’s time to skeptical colleagues the importance of ington, Floyd spent most of his adult extend a 60th birthday greeting to a acting quickly on this issue, we knew life and professional career in the Dis- friend of mine, and a friend of the Sen- that Dave was one of the best, if not trict of Columbia. During breaks from ate as an institution, a voice in the pri- the best, in the business community to his undergraduate education at the vate sector who has been a terrific pub- do exactly that. When we convened a University of Virginia, Floyd worked lic citizen, and a visionary in the busi- group of CEOs to meet with other Sen- as a member of the grounds crew for ness community who has always kept ators in June of 2010, as part of the the Architect of the Capitol, as a docu- his eye on the future of his industry lead-up to designing the climate ment clerk in the Senate Document even when the present is extraor- change bill, Dave stepped forward as a Room, and as a Senate doorkeeper. dinarily challenging: Honeywell Inter- After earning his juris doctor from the national CEO Dave Cote. leading business voice in the discus- On July 19, Dave will reach a mile- sion. And when we finally introduced University of Arkansas, he returned to stone—he will be 60 years old. Zero to the American Power Act, Dave was Washington, where he worked as a Cap- 60—and anyone who knows him can at- right by our side. itol police officer while obtaining an test that as he enters his sixties, Dave I turned to Dave again last fall when LLM from Georgetown University. is just getting started. I was serving on the Select Committee Floyd began his professional career Mr. President, Dave Cote exemplifies on Deficit Reduction. He was proud of in 1972 at the IRS as a tax law spe- the best of what can be accomplished his own service as one of the Repub- cialist in the Individual Income Tax in corporate America—a one-man inno- lican members of the bipartisan Simp- Branch before working as a legislative vative force pushing us ahead in the son-Bowles Commission, which had put attorney for the Congressional Joint global economy and, along the way and together a bold blueprint of its own to Committee on Taxation. He spent sev- at the same time, proof positive that wrestle with the tough choices of the eral years in the private sector as sen- improving the health of our planet can deficit and our national debt. I agreed ior tax manager at Coopers and be a job creator and a generator of eco- completely with Dave’s view that we Lybrand, vice president and legislative nomic activity. needed to act rather than put off doing counsel for the National Association of Under Dave’s leadership, Honeywell something about our deficit. He said— Home Builders, and senior tax counsel has become a world leader in devel- and I quote—‘‘The faster we act, the for the Tax Foundation. Floyd re- oping and producing technologies and less painful it will be for everyone.’’ turned to government service at the products that save energy and But more than any specific policy, Treasury Department, where he served strengthen the environment. From pio- what I admired most was Dave’s sin- as Deputy Assistant Secretary for Leg- neering green jet fuels to reengineering cerity about the issue—his frequent, islative Affairs and Public Liaison (Tax wind turbines, from advanced energy encouraging text messages and emails and Budget) and previously as Senior metering to home solar panels, Honey- during the long hard slog of the so- Tax Advisor for Public and Legislative well is leading the way to the clean en- called Super Committee, always ex- Affairs. After his tenure with the ergy economy—an economy that could horting me and the Democratic and Re- Treasury Department, he returned to generate 4.5 million jobs over the publican members of the Committee to the IRS as Director of Legislative Af- course of a decade and save us tens of go the extra mile, put ideology aside, fairs, a role he has held for the last 16 billions of dollars in energy costs. and do what was right for our country. years.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00043 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.016 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3974 CONGRESSIONAL RECORD — SENATE June 12, 2012 As someone who continues to claim ganization to a globally recognized EC–6418. A communication from the Direc- Fayetteville, AR, as his hometown, force for good. United Way is an indis- tor of the Regulatory Management Division, Floyd Williams has been a great asset pensable part of Colorado’s social fab- Environmental Protection Agency, transmit- to me, my staff, and Arkansas over the ric, and I am proud to recognize and ting, pursuant to law, the report of a rule en- titled ‘‘Killed, nonviable Streptomyces years. I will certainly miss his insight honor this historic anniversary. acidiscabies strain RL–110T; Exemption from and depth of knowledge, and I wish him There are 14 local United Way organi- the Requirement of a Tolerance’’ (FRL No. all the best in his retirement. Thank zations leaving an indelible mark 9348–7) received in the Office of the President you, again, Floyd, for your many years throughout Colorado. I want to take a of the Senate on June 7, 2012; to the Com- of service.∑ moment to recognize each of them for mittee on Agriculture, Nutrition, and For- estry. f their tremendous role as cornerstones of their communities: Foothills United EC–6419. A communication from the Dep- 125TH ANNIVERSARY OF UNITED uty General Counsel, Federal Energy Regu- Way, Boulder; Pikes Peak United Way, WAY latory Commission, transmitting, pursuant Colorado Springs; Moffat County ∑ to law, the report of a rule entitled ‘‘Trans- Mr. UDALL of Colorado. Mr. Presi- United Way, Craig; Mile High United mission Planning and Cost Allocation by dent, I would like to recognize the Way, Inc., Denver; United Way of Transmission Owning and Operating Public 125th anniversary of United Way and Southwest Colorado, Durango; United Utilities’’ (Docket No. RM10–23–001) received honor their extraordinary achieve- Way of Eagle River Valley, Eagle; in the Office of the President of the Senate ments since their founding 125 years United Way of Morgan County, Inc., on June 4, 2012; to the Committee on Energy ago in Denver, CO. and Natural Resources. Fort Morgan; United Way of Mesa EC–6420. A communication from the Assist- In 1887, a Denver woman, along with County, Grand Junction; United Way local religious leaders, recognized the ant General Counsel for Legislation, Regula- of Weld County, Greeley; United Way tion and Energy Efficiency, Department of need for community-based action in of Larimer County, Inc., Fort Collins Energy, transmitting, pursuant to law, the order to address the city’s growing and Loveland; Pueblo County United report of a rule entitled ‘‘Energy Conserva- problem with poverty. In Denver they Way, Inc., Pueblo; United Way of Gar- tion Program: Energy Conservation Stand- established the first of what would be- field County, Rifle; Routt County ards for Residential Dishwashers’’ (RIN1904– come a worldwide network of organiza- United Way, Steamboat Springs; and AC64) received during adjournment of the Senate in the Office of the President of the tions called United Way. Their goal Logan County United Way, Sterling. was simple: create a community-based Senate on May 31, 2012; to the Committee on To all of the employees and partners Energy and Natural Resources. organization that would raise funds in of United Way, I join my Senate col- EC–6421. A communication from the Direc- order to provide economic relief and leagues in recognizing and applauding tor of the Regulatory Management Division, counseling services to neighbors in your legacy of inspirational service. Environmental Protection Agency, transmit- need. During their first campaign in This 125th anniversary is a milestone ting, pursuant to law, the report of a rule en- 1888, this remarkable organization deserving of celebration, and I com- titled ‘‘Control of Air Pollution From Air- raised today’s equivalent of $650,000. craft and Aircraft Engines; Emission Stand- mend your tireless pursuit to advance ards and Test Procedures’’ (FRL No. 9678–1) Now, 125 years after its founding, the common good.∑ United Way has become a celebrated, received in the Office of the President of the f Senate on June 7, 2012; to the Committee on worldwide organization committed to Environment and Public Works. improving communities from the bot- MESSAGE FROM THE HOUSE EC–6422. A communication from the Direc- tom up, through cooperative action ENROLLED BILL SIGNED tor of the Regulatory Management Division, and community support in 41 countries At 10:17 a.m., a message from the Environmental Protection Agency, transmit- across the globe. United Way forges House of Representatives, delivered by ting, pursuant to law, the report of a rule en- public-private partnerships with local titled ‘‘Approval and Promulgation of Air Mrs. Cole, one of its reading clerks, an- Quality Implementation Plans; Virginia; Re- businesses, labor organizations, and 120 nounced that the Speaker had signed national and global corporations gional Haze State Implementation Plan’’ the following enrolled bill: (FRL No. 9685–2) received in the Office of the through the Global Corporate Leader- S. 3261. An act to allow the Chief of the President of the Senate on June 7, 2012; to ship Program and brings an impressive Forest Services to award certain contracts the Committee on Environment and Public $5 billion to local communities each for large air tankers. Works. year. United Way effectively leverages EC–6423. A communication from the Direc- The enrolled bill was subsequently private donations in order to finance tor of the Regulatory Management Division, signed by the President pro tempore innovative programs and initiatives Environmental Protection Agency, transmit- (Mr. INOUYE). that profoundly impact communities ting, pursuant to law, the report of a rule en- f titled ‘‘Determination of Failure to Attain throughout Colorado, the United by 2005 and Determination of Current At- States, and the world to advance edu- MEASURES PLACED ON THE tainment of the 1-Hour Ozone National Am- cation, income, and health. CALENDAR bient Air Quality Standards in the Baltimore The success and strength of the part- The following bill was read the sec- Nonattainment Area in Maryland’’ (FRL No. nerships between United Way and ond time, and placed on the calendar: 9685–5) received in the Office of the President America’s workers cannot be over- of the Senate on June 7, 2012; to the Com- H.R. 436. An act to amend the Internal mittee on Environment and Public Works. stated. Nearly two-thirds of the funds Revenue Code of 1986 to repeal the excise tax for United Way come from voluntary EC–6424. A communication from the Direc- on medical devices. tor of the Regulatory Management Division, worker payroll contributions and the f Environmental Protection Agency, transmit- Labor Letters of Endorsement Program ting, pursuant to law, the report of a rule en- championed by the AFL–CIO encour- ENROLLED BILL PRESENTED titled ‘‘Approval and Promulgation of Imple- ages affiliates and their members to The Secretary of the Senate reported mentation Plans; New Mexico; Minor New give their time and resources to United that on today, June 12, 2012, she had Source Review (NSR) Preconstruction Per- Way campaigns. Just one powerful il- presented to the President of the mitting Rule for Cotton Gins’’ (FRL No. 9684–5) received in the Office of the President lustration of this partnership is the United States the following enrolled National Association of Letter Car- of the Senate on June 7, 2012; to the Com- bill: mittee on Environment and Public Works. riers’ National Food Drive, a coopera- S. 3261. An act to allow the Chief of the EC–6425. A communication from the Direc- tive effort with the U.S. Postal Serv- Forest Service to award certain contracts for tor of the Regulatory Management Division, ice, AFL–CIO, and United Way, which large air tankers. Environmental Protection Agency, transmit- has become the world’s largest 1-day f ting, pursuant to law, the report of a rule en- food drive. titled ‘‘Approval and Promulgation of Air United Way has strengthened bonds EXECUTIVE AND OTHER Quality Implementation Plans; Indiana; Re- and built a foundation of collaboration COMMUNICATIONS gional Haze’’ (FRL No. 9683–3) received in the and partnership in our communities. The following communications were Office of the President of the Senate on June 7, 2012; to the Committee on Environment Its founders could never have imagined laid before the Senate, together with and Public Works. the ultimate breadth and reach of this accompanying papers, reports, and doc- EC–6426. A communication from the Direc- group, growing from a local support or- uments, and were referred as indicated: tor of the Regulatory Management Division,

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00044 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.030 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3975 Environmental Protection Agency, transmit- Affairs, Department of State, transmitting, cles and/or defense services to a Middle East ting, pursuant to law, the report of a rule en- pursuant to law, an addendum to a certifi- country regarding any possible affects such a titled ‘‘Approval and Promulgation of Imple- cation, transmittal number: DDTC 12–052, of sale might have relating to Israel’s Quali- mentation Plans and Designation of Areas the proposed sale or export of defense arti- tative Military Edge over military threats to for Air Quality Planning Purposes; Illinois; cles and/or defense services to a Middle East Israel; to the Committee on Foreign Rela- Redesignation of the Illinois Portion of the country regarding any possible affects such a tions. St. Louis, MO–IL Area to Attainment for the sale might have relating to Israel’s Quali- EC–6442. A communication from the Assist- 1997 8-hour Ozone Standard’’ (FRL No. 9683– tative Military Edge over military threats to ant Secretary, Bureau of Political-Military 7) received in the Office of the President of Israel; to the Committee on Foreign Rela- Affairs, Department of State, transmitting, the Senate on June 7, 2012; to the Committee tions. pursuant to law, an addendum to a certifi- on Environment and Public Works. EC–6435. A communication from the Assist- cation, transmittal number: DDTC 12–020, of EC–6427. A communication from the Direc- ant Secretary, Bureau of Political-Military the proposed sale or export of defense arti- tor of the Regulatory Management Division, Affairs, Department of State, transmitting, cles and/or defense services to a Middle East Environmental Protection Agency, transmit- pursuant to law, an addendum to a certifi- country regarding any possible affects such a ting, pursuant to law, the report of a rule en- cation, transmittal number: DDTC 12–064, of sale might have relating to Israel’s Quali- titled ‘‘Approval and Promulgation of Air the proposed sale or export of defense arti- tative Military Edge over military threats to Quality Implementation Plans; Minnesota; cles and/or defense services to a Middle East Israel; to the Committee on Foreign Rela- Regional Haze’’ (FRL No. 9683–5) received in country regarding any possible affects such a tions. EC–6443. A communication from the Assist- the Office of the President of the Senate on sale might have relating to Israel’s Quali- ant Secretary, Legislative Affairs, Depart- June 7, 2012; to the Committee on Environ- tative Military Edge over military threats to ment of State, transmitting, pursuant to ment and Public Works. Israel; to the Committee on Foreign Rela- law, a report relative to groups designated EC–6428. A communication from the Direc- tions. by the Secretary of State as Foreign Ter- tor of the Regulatory Management Division, EC–6436. A communication from the Assist- rorist Organizations (DCN OSS 2012–0837); to Environmental Protection Agency, transmit- ant Secretary, Bureau of Political-Military ting, pursuant to law, the report of a rule en- the Committee on Foreign Relations. Affairs, Department of State, transmitting, EC–6444. A communication from the Chair- titled ‘‘Approval of Air Quality Implementa- pursuant to law, an addendum to a certifi- tion Plan; Arizona; Attainment Plan for 1997 man, Foreign Claims Settlement Commis- cation, transmittal number: DDTC 12–073, of sion of the United States, Department of 8-hour Ozone Standard’’ (FRL No. 9682–5) re- the proposed sale or export of defense arti- ceived in the Office of the President of the Justice, transmitting the Commission’s an- cles and/or defense services to a Middle East nual report for 2011; to the Committee on Senate on June 7, 2012; to the Committee on country regarding any possible affects such a Environment and Public Works. Foreign Relations. sale might have relating to Israel’s Quali- EC–6445. A communication from the Assist- EC–6429. A communication from the Direc- tative Military Edge over military threats to tor of the Regulatory Management Division, ant Legal Adviser for Treaty Affairs, Depart- Israel; to the Committee on Foreign Rela- ment of State, transmitting, pursuant to the Environmental Protection Agency, transmit- tions. Case-Zablocki Act, 1 U.S.C. 112b, as amended, ting, pursuant to law, the report of a rule en- EC–6437. A communication from the Assist- the report of the texts and background state- titled ‘‘Approval and Promulgation of Imple- ant Secretary, Bureau of Political-Military ments of international agreements, other mentation Plans; Arizona; Update to Stage Affairs, Department of State, transmitting, than treaties (List 2012–0046—2012–0053); to II Gasoline Vapor Recovery Program; pursuant to law, an addendum to a certifi- the Committee on Foreign Relations. Change in the Definition of ‘Gasoline’ to Ex- cation, transmittal number: DDTC 12–057, of EC–6446. A communication from the Assist- clude ‘E85’ ’’ (FRL No. 9661–3) received in the the proposed sale or export of defense arti- ant Secretary, Legislative Affairs, Depart- Office of the President of the Senate on June cles and/or defense services to a Middle East ment of State, transmitting, pursuant to 7, 2012; to the Committee on Environment country regarding any possible affects such a law, a report relative to proposed amend- and Public Works. sale might have relating to Israel’s Quali- ments to parts 120, 123, 124, 126, 127, and 129 EC–6430. A communication from the Direc- tative Military Edge over military threats to of the International Traffic in Arms Regula- tor of the Regulatory Management Division, Israel; to the Committee on Foreign Rela- tions (ITAR); to the Committee on Foreign Environmental Protection Agency, transmit- Relations. ting, pursuant to law, the report of a rule en- tions. EC–6438. A communication from the Assist- EC–6447. A communication from the Assist- titled ‘‘Approval and Promulgation of Air ant Secretary, Bureau of Political-Military ant Legal Adviser for Treaty Affairs, Depart- Quality Implementation Plans; Maryland; Affairs, Department of State, transmitting, ment of State, transmitting, pursuant to the Permit to Construct Exemptions’’ (FRL No. pursuant to law, an addendum to a certifi- Case-Zablocki Act, 1 U.S.C. 112b, as amended, 9684–9) received in the Office of the President cation, transmittal number: DDTC 12–059, of the report of the texts and background state- of the Senate on June 7, 2012; to the Com- the proposed sale or export of defense arti- ments of international agreements, other mittee on Environment and Public Works. than treaties (List 2012–0054—2012–0063); to EC–6431. A communication from the Direc- cles and/or defense services to a Middle East country regarding any possible affects such a the Committee on Foreign Relations. tor of the Regulatory Management Division, EC–6448. A communication from the Assist- sale might have relating to Israel’s Quali- Environmental Protection Agency, transmit- ant Secretary, Legislative Affairs, Depart- tative Military Edge over military threats to ting, pursuant to law, the report of a rule en- ment of State, transmitting, certification of Israel; to the Committee on Foreign Rela- titled ‘‘Revisions to Federal Implementation proposed issuance of an export license pursu- tions. Plans to Reduce Interstate Transport of Fine ant to section 36(c) of the Arms Export Con- EC–6439. A communication from the Assist- Particulate Matter and Ozone’’ (FRL No. trol Act (Transmittal No. DDTC 12–060); to ant Secretary, Bureau of Political-Military 9672–4) received in the Office of the President the Committee on Foreign Relations. of the Senate on June 7, 2012; to the Com- Affairs, Department of State, transmitting, EC–6449. A communication from the Assist- mittee on Environment and Public Works. pursuant to law, an addendum to a certifi- ant Secretary, Legislative Affairs, Depart- EC–6432. A communication from the Direc- cation, transmittal number: DDTC 12–034, of ment of State, transmitting, certification of tor of Congressional Affairs, Office of Nu- the proposed sale or export of defense arti- proposed issuance of an export license pursu- clear Regulatory Research, Nuclear Regu- cles and/or defense services to a Middle East ant to section 36(c) of the Arms Export Con- latory Commission, transmitting, pursuant country regarding any possible affects such a trol Act (Transmittal No. DDTC 12–030); to to law, the report of a rule entitled ‘‘Moni- sale might have relating to Israel’s Quali- the Committee on Foreign Relations. toring the Effectiveness of Maintenance at tative Military Edge over military threats to EC–6450. A communication from the Assist- Nuclear Power Plants’’ (Regulatory Guide Israel; to the Committee on Foreign Rela- ant Secretary, Legislative Affairs, Depart- 1.160, Revision 3) received during adjourn- tions. ment of State, transmitting, certification of ment of the Senate in the Office of the Presi- EC–6440. A communication from the Assist- proposed issuance of an export license pursu- dent of the Senate on May 30, 2012; to the ant Secretary, Bureau of Political-Military ant to section 36(c) of the Arms Export Con- Committee on Environment and Public Affairs, Department of State, transmitting, trol Act (Transmittal No. DDTC 12–022); to Works. pursuant to law, an addendum to a certifi- the Committee on Foreign Relations. EC–6433. A communication from the Assist- cation, transmittal number: DDTC 12–026, of EC–6451. A communication from the Assist- ant Secretary of Land and Minerals Manage- the proposed sale or export of defense arti- ant Secretary, Legislative Affairs, Depart- ment, Bureau of Safety and Environmental cles and/or defense services to a Middle East ment of State, transmitting, certification of Enforcement, Department of the Interior, country regarding any possible affects such a proposed issuance of an export license pursu- transmitting, pursuant to law, the report of sale might have relating to Israel’s Quali- ant to section 36(c) of the Arms Export Con- a rule entitled ‘‘Production Measurement tative Military Edge over military threats to trol Act (Transmittal No. DDTC 12–025); to Documents Incorporated by Reference; Cor- Israel; to the Committee on Foreign Rela- the Committee on Foreign Relations. rection’’ (RIN1014–AA01) received during ad- tions. EC–6452. A communication from the Assist- journment of the Senate in the Office of the EC–6441. A communication from the Assist- ant Secretary, Legislative Affairs, Depart- President of the Senate on May 30, 2012; to ant Secretary, Bureau of Political-Military ment of State, transmitting, certification of the Committee on Environment and Public Affairs, Department of State, transmitting, proposed issuance of an export license pursu- Works. pursuant to law, an addendum to a certifi- ant to section 36(c) of the Arms Export Con- EC–6434. A communication from the Assist- cation, transmittal number: DDTC 12–035, of trol Act (Transmittal No. DDTC 12–009); to ant Secretary, Bureau of Political-Military the proposed sale or export of defense arti- the Committee on Foreign Relations.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00045 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.013 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3976 CONGRESSIONAL RECORD — SENATE June 12, 2012 EC–6453. A communication from the Assist- ant to section 36(d) of the Arms Export Con- Year 2011 Small Business Enterprise Expend- ant Secretary, Legislative Affairs, Depart- trol Act (Transmittal No. DDTC 12–012); to iture Goals’’; to the Committee on Homeland ment of State, transmitting, certification of the Committee on Foreign Relations. Security and Governmental Affairs. proposed issuance of an export license pursu- EC–6466. A communication from the Assist- EC–6477. A communication from the Direc- ant to section 36(c) of the Arms Export Con- ant Secretary, Legislative Affairs, Depart- tor, Office of Personnel Management, trans- trol Act (Transmittal No. DDTC 12–010); to ment of State, transmitting, certification of mitting, pursuant to law, the report of a rule the Committee on Foreign Relations. proposed issuance of an export license pursu- entitled ‘‘Political Activity—Federal Em- EC–6454. A communication from the Assist- ant to section 36(d) of the Arms Export Con- ployees Residing in Designated Localities’’ ant Secretary, Legislative Affairs, Depart- trol Act (Transmittal No. DDTC 12–005); to (RIN3206–AM44) received in the Office of the ment of State, transmitting, certification of the Committee on Foreign Relations. President of the Senate on June 7, 2012; to proposed issuance of an export license pursu- EC–6467. A communication from the Assist- the Committee on Homeland Security and ant to section 36(c) of the Arms Export Con- ant Secretary, Legislative Affairs, Depart- Governmental Affairs. trol Act (Transmittal No. DDTC 11–143); to ment of State, transmitting, certification of EC–6478. A communication from the Direc- the Committee on Foreign Relations. proposed issuance of an export license pursu- tor, Office of Personnel Management, trans- EC–6455. A communication from the Assist- ant to sections 36(c) and 36(d) of the Arms mitting, pursuant to law, the report of a rule ant Secretary, Legislative Affairs, Depart- Export Control Act (Transmittal No. DDTC entitled ‘‘Prevailing Rate Systems; Abolish- ment of State, transmitting, certification of 12–014); to the Committee on Foreign Rela- ment of Montgomery, Pennsylvania, as a proposed issuance of an export license pursu- tions. Nonappropriated Fund Federal Wage System ant to section 36(c) of the Arms Export Con- EC–6468. A communication from the Assist- Wage Area’’ (RIN3206–AM62) received in the trol Act (Transmittal No. DDTC 12–033); to ant Secretary, Legislative Affairs, Depart- Office of the President of the Senate on June the Committee on Foreign Relations. ment of State, transmitting, certification of 7, 2012; to the Committee on Homeland Secu- EC–6456. A communication from the Assist- proposed issuance of an export license pursu- rity and Governmental Affairs. ant Secretary, Legislative Affairs, Depart- ant to sections 36(c) and 36(d) of the Arms EC–6479. A communication from the Direc- ment of State, transmitting, certification of Export Control Act (Transmittal No. DDTC tor, Office of Personnel Management, trans- proposed issuance of an export license pursu- 12–004); to the Committee on Foreign Rela- mitting, pursuant to law, the report of a rule ant to section 36(c) of the Arms Export Con- tions. entitled ‘‘Excepted Service, Career and Ca- trol Act (Transmittal No. DDTC 12–028); to EC–6469. A communication from the Assist- reer-Conditional Employment; and Pathways the Committee on Foreign Relations. ant Secretary, Legislative Affairs, Depart- Programs’’ (RIN3206–AM34) received in the EC–6457. A communication from the Assist- ment of State, transmitting, certification of Office of the President of the Senate on June ant Secretary, Legislative Affairs, Depart- proposed issuance of an export license pursu- 7, 2012; to the Committee on Homeland Secu- ment of State, transmitting, certification of ant to sections 36(c) and 36(d) of the Arms rity and Governmental Affairs. proposed issuance of an export license pursu- Export Control Act (Transmittal No. DDTC ant to section 36(c) of the Arms Export Con- 12–023); to the Committee on Foreign Rela- trol Act (Transmittal No. DDTC 12–006); to tions. f the Committee on Foreign Relations. EC–6470. A communication from the Assist- EC–6458. A communication from the Assist- ant Secretary, Legislative Affairs, Depart- REPORTS OF COMMITTEES ant Secretary, Legislative Affairs, Depart- ment of State, transmitting, certification of ment of State, transmitting, certification of proposed issuance of an export license pursu- The following reports of committees proposed issuance of an export license pursu- ant to sections 36(c) and 36(d) of the Arms were submitted: ant to section 36(c) of the Arms Export Con- Export Control Act (Transmittal No. DDTC By Mr. INOUYE, from the Committee on trol Act (Transmittal No. DDTC 12–019); to 09–087); to the Committee on Foreign Rela- Appropriations: the Committee on Foreign Relations. tions. Special Report entitled ‘‘Further Revised EC–6459. A communication from the Assist- EC–6471. A communication from the Assist- Allocations to Subcommittees of Budget To- ant Secretary, Legislative Affairs, Depart- ant Secretary, Legislative Affairs, Depart- tals for Fiscal Year 2013’’ (Rept. No. 112–175). ment of State, transmitting, certification of ment of State, transmitting, certification of proposed issuance of an export license pursu- proposed issuance of an export license pursu- ant to section 36(c) of the Arms Export Con- ant to sections 36(c) and 36(d) of the Arms f trol Act (Transmittal No. DDTC 12–018); to Export Control Act (Transmittal No. DDTC the Committee on Foreign Relations. 12–053); to the Committee on Foreign Rela- INTRODUCTION OF BILLS AND EC–6460. A communication from the Assist- tions. JOINT RESOLUTIONS ant Secretary, Legislative Affairs, Depart- EC–6472. A communication from the Assist- ment of State, transmitting, certification of ant Secretary, Legislative Affairs, Depart- The following bills and joint resolu- proposed issuance of an export license pursu- ment of State, transmitting, certification of tions were introduced, read the first ant to section 36(c) of the Arms Export Con- proposed issuance of an export license pursu- and second times by unanimous con- trol Act (Transmittal No. DDTC 12–029); to ant to section 36(c) of the Arms Export Con- sent, and referred as indicated: the Committee on Foreign Relations. trol Act (Transmittal No. DDTC 12–031); to EC–6461. A communication from the Assist- the Committee on Foreign Relations. By Mr. BAUCUS (for himself, Mr. ant Secretary, Legislative Affairs, Depart- EC–6473. A communication from the Direc- THUNE, Mr. KERRY, and Mr. MCCAIN): ment of State, transmitting, certification of tor, Office of Personnel Management, trans- S. 3285. A bill to authorize the extension of proposed issuance of an export license pursu- mitting, pursuant to law, the Semiannual nondiscriminatory treatment (normal trade ant to section 36(c) of the Arms Export Con- Report of the Inspector General for the pe- relations treatment) to products of the Rus- trol Act (Transmittal No. DDTC 12–056); to riod from October 1, 2011 through March 31, sian Federation; to the Committee on Fi- the Committee on Foreign Relations. 2012 and the Management Response for the nance. EC–6462. A communication from the Assist- period ending March 31, 2012; to the Com- By Mrs. MCCASKILL (for herself, Mr. ant Secretary, Legislative Affairs, Depart- mittee on Homeland Security and Govern- WEBB, Mr. LIEBERMAN, Ms. COLLINS, ment of State, transmitting, certification of mental Affairs. Mr. FRANKEN, Mr. BLUMENTHAL, and proposed issuance of an export license pursu- EC–6474. A communication from the Ad- Mr. SANDERS): ant to section 36(c) of the Arms Export Con- ministrator of the Environmental Protection S. 3286. A bill to enhance security, increase trol Act (Transmittal No. DDTC 12–044); to Agency, transmitting, pursuant to law, the accountability, and improve the contracting the Committee on Foreign Relations. Semi-Annual Report of the Inspector Gen- of the Federal Government for overseas con- EC–6463. A communication from the Assist- eral for the period from October 1, 2011 tingency operations, and for other purposes; ant Secretary, Legislative Affairs, Depart- through March 31, 2012 and the Compendium to the Committee on Homeland Security and ment of State, transmitting, certification of of Unimplemented Recommendations for the Governmental Affairs. proposed issuance of an export license pursu- period from October 1, 2011 through March By Mr. PAUL: ant to section 36(d) of the Arms Export Con- 31, 2012; to the Committee on Homeland Se- S. 3287. A bill to protect individual privacy trol Act (Transmittal No. DDTC 12–015); to curity and Governmental Affairs. against unwarranted governmental intrusion the Committee on Foreign Relations. EC–6475. A communication from the Sec- through the use of the unmanned aerial vehi- EC–6464. A communication from the Assist- retary of Transportation, transmitting, pur- cles commonly called drones, and for other ant Secretary, Legislative Affairs, Depart- suant to law, the Department of Transpor- purposes; to the Committee on the Judici- ment of State, transmitting, certification of tation’s Semiannual Report of the Inspector ary. proposed issuance of an export license pursu- General for the period from October 1, 2011 By Mr. MCCONNELL (for himself, Mrs. ant to section 3(d) of the Arms Export Con- through March 31, 2012; to the Committee on FEINSTEIN, Mr. MCCAIN, Mr. DURBIN, trol Act (Transmittal No. DDTC 12–027); to Homeland Security and Governmental Af- and Ms. COLLINS): the Committee on Foreign Relations. fairs. S.J. Res. 43. A joint resolution approving EC–6465. A communication from the Assist- EC–6476. A communication from the Dis- the renewal of import restrictions contained ant Secretary, Legislative Affairs, Depart- trict of Columbia Auditor, transmitting, pur- in the Burmese Freedom and Democracy Act ment of State, transmitting, certification of suant to law, a report entitled, ‘‘District of of 2003, and for other purposes; to the Com- proposed issuance of an export license pursu- Columbia Agencies’ Compliance with Fiscal mittee on Foreign Relations.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00046 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.015 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3977 SUBMISSION OF CONCURRENT AND tain active duty or active service used land (Mr. CARDIN) was added as a co- SENATE RESOLUTIONS to reduce the minimum age at which a sponsor of S. 1770, a bill to prohibit dis- The following concurrent resolutions member of a reserve component of the crimination in adoption or foster case and Senate resolutions were read, and uniformed services may retire for non- placements based on the sexual ori- referred (or acted upon), as indicated: regular service. entation, gender identity, or marital S. 996 status of any prospective adoptive or By Mr. MCCAIN (for himself, Mr. foster parent, or the sexual orientation INHOFE, Mr. WICKER, Mr. BROWN of At the request of Mr. ROCKEFELLER, or gender identity of the child in- Massachusetts, Ms. AYOTTE, Mr. the name of the Senator from New PORTMAN, Ms. COLLINS, Mr. GRAHAM, Mexico (Mr. UDALL) was added as a co- volved. Mr. CORNYN, Mr. BURR, Mr. ROBERTS, sponsor of S. 996, a bill to amend the S. 1843 Mr. BLUNT, Mr. COBURN, Mr. PAUL, Internal Revenue Code of 1986 to extend At the request of Mr. ISAKSON, the Mr. BOOZMAN, Mr. ISAKSON, Mr. the new markets tax credit through name of the Senator from Kansas (Mr. GRASSLEY, Mr. KIRK, Mr. CHAMBLISS, 2016, and for other purposes. MORAN) was added as a cosponsor of S. Mr. RUBIO, and Mr. HOEVEN): 1843, a bill to amend the National S. 1039 S. Res. 489. A resolution expressing the Labor Relations Act to provide for ap- sense of the Senate on the appointment by At the request of Mr. THUNE, his propriate designation of collective bar- the Attorney General of an outside special name was added as a cosponsor of S. gaining units. counsel to investigate certain recent leaks of 1039, a bill to impose sanctions on per- S. 1908 apparently classified and highly sensitive in- sons responsible for the detention, At the request of Mr. NELSON of Flor- formation on United States military and in- abuse, or death of Sergei Magnitsky, telligence plans, programs, and operations; ida, the name of the Senator from New for the conspiracy to defraud the Rus- to the Committee on the Judiciary. Mexico (Mr. BINGAMAN) was added as a By Mrs. BOXER: sian Federation of taxes on corporate cosponsor of S. 1908, a bill to amend the S. Res. 490. A resolution designating the profits through fraudulent transactions Internal Revenue Code of 1986 to clarify week of September 16, 2012, as ‘‘Mito- and lawsuits against Hermitage, and the employment tax treatment and re- chondrial Disease Awareness Week’’, re- for other gross violations of human affirming the importance of an enhanced and porting of wages paid by professional rights in the Russian Federation, and employer organization, and for other coordinated research effort on mitochondrial for other purposes. diseases, and commending the National In- purposes. stitutes of Health for its efforts to improve S. 1221 S. 1935 the understanding of mitochondrial diseases; At the request of Mrs. SHAHEEN, the At the request of Mrs. HAGAN, the to the Committee on Health, Education, name of the Senator from Alaska (Mr. name of the Senator from North Da- Labor, and Pensions. BEGICH) was added as a cosponsor of S. kota (Mr. CONRAD) was added as a co- By Mr. COONS (for himself, Mr. BOOZ- 1221, a bill to provide grants to better sponsor of S. 1935, a bill to require the MAN, Ms. MIKULSKI, Mr. ALEXANDER, understand and reduce gestational dia- Secretary of the Treasury to mint and Ms. MURKOWSKI): betes, and for other purposes. S. Res. 491. A resolution commending the coins in recognition and celebration of participants in the 44th International Chem- S. 1381 the 75th anniversary of the establish- istry Olympiad and recognizing the impor- At the request of Mr. BLUMENTHAL, ment of the March of Dimes Founda- tance of education in the fields of science, the name of the Senator from Cali- tion. technology, engineering, and mathematics fornia (Mrs. BOXER) was added as a co- S. 1956 to the future of the United States; consid- sponsor of S. 1381, a bill to provide for At the request of Mr. THUNE, the ered and agreed to. the expansion of Federal efforts con- name of the Senator from Missouri By Mr. BLUMENTHAL (for himself, cerning the prevention, education, (Mr. BLUNT) was added as a cosponsor Mr. KIRK, Mr. DURBIN, and Mr. NEL- SON of Florida): treatment, and research activities re- of S. 1956, a bill to prohibit operators of S. Res. 492. A resolution designating June lated to Lyme and other tick-borne dis- civil aircraft of the United States from 15, 2012, as ‘‘World Elder Abuse Awareness ease, including the establishment of a participating in the European Union’s Day’’; considered and agreed to. Tick-Borne Diseases Advisory Com- emissions trading scheme, and for By Mr. LEAHY (for himself and Mr. mittee. other purposes. GRAHAM): S. 1461 S. 2036 S. Con. Res. 48. A concurrent resolution At the request of Mr. NELSON of Flor- At the request of Mrs. GILLIBRAND, recognizing 375 years of service of the Na- the name of the Senator from Massa- tional Guard and affirming congressional ida, the name of the Senator from West support for a permanent Operational Reserve Virginia (Mr. MANCHIN) was added as a chusetts (Mr. BROWN) was added as a as a component of the Armed Forces; to the cosponsor of S. 1461, a bill to amend the cosponsor of S. 2036, a bill to require Committee on Armed Services. Federal Food, Drug, and Cosmetic Act the Secretary of the Treasury to mint coins in recognition and celebration of f to clarify the Food and Drug Adminis- tration’s jurisdiction over certain to- the National Baseball Hall of Fame. ADDITIONAL COSPONSORS bacco products, and to protect jobs and S. 2074 NOWE S. 557 small businesses involved in the sale, At the request of Ms. S , the name of the Senator from Maine (Ms. At the request of Ms. SNOWE, the manufacturing and distribution of tra- COLLINS) was added as a cosponsor of S. name of the Senator from Maine (Ms. ditional and premium cigars. 2074, a bill to amend the Internal Rev- COLLINS) was added as a cosponsor of S. S. 1494 enue Code of 1986 to expand the reha- 557, a bill to amend the Internal Rev- At the request of Mrs. BOXER, the bilitation credit, and for other pur- enue Code of 1986 to expand tax-free name of the Senator from Michigan poses. distributions from individual retire- (Ms. STABENOW) was added as a cospon- S. 2112 ment accounts for charitable purposes. sor of S. 1494, a bill to reauthorize and At the request of Mr. BEGICH, the amend the National Fish and Wildlife S. 722 name of the Senator from Oklahoma Foundation Establishment Act. At the request of Mr. WYDEN, the (Mr. COBURN) was added as a cosponsor name of the Senator from Pennsyl- S. 1591 of S. 2112, a bill to amend title 10, vania (Mr. CASEY) was added as a co- At the request of Mrs. GILLIBRAND, United States Code, to authorize space- sponsor of S. 722, a bill to strengthen the name of the Senator from Rhode Is- available travel on military aircraft and protect Medicare hospice pro- land (Mr. WHITEHOUSE) was added as a for members of the reserve compo- grams. cosponsor of S. 1591, a bill to award a nents, a member or former member of S. 866 Congressional Gold Medal to Raoul a reserve component who is eligible for At the request of Mr. TESTER, the Wallenberg, in recognition of his retired pay but for age, widows and name of the Senator from Alaska (Ms. achievements and heroic actions dur- widowers of retired members, and de- MURKOWSKI) was added as a cosponsor ing the Holocaust. pendents. of S. 866, a bill to amend title 10, S. 1770 S. 2165 United States Code, to modify the per- At the request of Mrs. GILLIBRAND, At the request of Mrs. BOXER, the fiscal year calculation of days of cer- the name of the Senator from Mary- name of the Senator from Washington

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00047 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.019 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3978 CONGRESSIONAL RECORD — SENATE June 12, 2012 (Ms. CANTWELL) was added as a cospon- Revenue Code of 1986 to permanently programs through 2017, and for other sor of S. 2165, a bill to enhance stra- extend the reduction in the recognition purposes. tegic cooperation between the United period for built-in gains for S corpora- AMENDMENT NO. 2170 States and Israel, and for other pur- tions. At the request of Mr. GRASSLEY, the poses. S. 3231 name of the Senator from South Da- S. 2250 At the request of Mr. KERRY, the kota (Mr. JOHNSON) was added as a co- At the request of Ms. STABENOW, the name of the Senator from Alaska (Mr. sponsor of amendment No. 2170 in- name of the Senator from Maine (Ms. BEGICH) was added as a cosponsor of S. tended to be proposed to S. 3240, an COLLINS) was added as a cosponsor of S. 3231, a bill to provide for the issuance original bill to reauthorize agricultural 2250, a bill to prevent homeowners from and sale of a semipostal by the United programs through 2017, and for other being forced to pay taxes on forgiven States Postal Service to support effec- purposes. mortgage loan debt. tive programs targeted at improving AMENDMENT NO. 2183 S. 2374 permanency outcomes for youth in fos- At the request of Mr. JOHANNS, his At the request of Mr. BINGAMAN, the ter care. name was added as a cosponsor of name of the Senator from Idaho (Mr. S. 3252 amendment No. 2183 intended to be pro- RISCH) was added as a cosponsor of S. At the request of Mr. PORTMAN, the posed to S. 3240, an original bill to re- 2374, a bill to amend the Helium Act to name of the Senator from Maryland authorize agricultural programs ensure the expedient and responsible (Mr. CARDIN) was added as a cosponsor through 2017, and for other purposes. draw-down of the Federal Helium Re- of S. 3252, a bill to provide for the AMENDMENT NO. 2199 serve in a manner that protects the in- award of a gold medal on behalf of Con- At the request of Mr. MCCAIN, the terests of private industry, the sci- gress to Jack Nicklaus, in recognition names of the Senator from New Hamp- entific, medical, and industrial com- of his service to the Nation in pro- shire (Ms. AYOTTE), the Senator from munities, commercial users, and Fed- moting excellence, good sportsman- Wyoming (Mr. ENZI), the Senator from eral agencies, and for other purposes. ship, and philanthropy. Idaho (Mr. RISCH), the Senator from S. 2884 S. 3269 Washington (Ms. CANTWELL) and the At the request of Ms. STABENOW, the At the request of Mr. JOHANNS, his Senator from Illinois (Mr. KIRK) were name of the Senator from New York name was added as a cosponsor of S. added as cosponsors of amendment No. (Mr. SCHUMER) was added as a cospon- 3269, a bill to provide that no United 2199 intended to be proposed to S. 3240, sor of S. 2884, a bill to provide an incen- States assistance may be provided to an original bill to reauthorize agricul- tive for businesses to bring jobs back Pakistan until Dr. Shakil Afridi is tural programs through 2017, and for to America. freed. other purposes. S. 3049 S. RES. 457 AMENDMENT NO. 2202 At the request of Mr. BEGICH, the At the request of Mr. LUGAR, the At the request of Mr. BENNET, the name of the Senator from Pennsyl- name of the Senator from Idaho (Mr. names of the Senator from Wyoming vania (Mr. CASEY) was added as a co- RISCH) was added as a cosponsor of S. (Mr. ENZI) and the Senator from Mon- sponsor of S. 3049, a bill to amend title Res. 457, a resolution expressing the tana (Mr. TESTER) were added as co- 39, United States Code, to expand the sense of Congress that the Republic of sponsors of amendment No. 2202 in- definition of homeless veteran for pur- Argentina’s membership in the G20 tended to be proposed to S. 3240, an poses of benefits under the laws admin- should be conditioned on its adherence original bill to reauthorize agricultural istered by the Secretary of Veterans to international norms of economic re- programs through 2017, and for other Affairs. lations and commitment to the rule of purposes. S. 3078 law. AMENDMENT NO. 2203 At the request of Mr. PORTMAN, the S. RES. 473 At the request of Mr. BENNET, the names of the Senator from Maine (Ms. At the request of Mr. DURBIN, the name of the Senator from Montana COLLINS), the Senator from Alaska (Ms. name of the Senator from Alaska (Mr. (Mr. TESTER) was added as a cosponsor MURKOWSKI) and the Senator from Wy- BEGICH) was added as a cosponsor of S. of amendment No. 2203 intended to be oming (Mr. ENZI) were added as cospon- Res. 473, a resolution commending Ro- proposed to S. 3240, an original bill to sors of S. 3078, a bill to direct the Sec- tary International and others for their reauthorize agricultural programs retary of the Interior to install in the efforts to prevent and eradicate polio. through 2017, and for other purposes. area of the World War II Memorial in AMENDMENT NO. 2156 AMENDMENT NO. 2212 the District of Columbia a suitable At the request of Mrs. GILLIBRAND, At the request of Mrs. MCCASKILL, plaque or an inscription with the words the names of the Senator from Con- her name was added as a cosponsor of that President Franklin D. Roosevelt necticut (Mr. LIEBERMAN) and the Sen- amendment No. 2212 intended to be pro- prayed with the United States on June ator from Vermont (Mr. SANDERS) were posed to S. 3240, an original bill to re- 6, 1944, the morning of D-Day. added as cosponsors of amendment No. authorize agricultural programs S. 3084 2156 intended to be proposed to S. 3240, through 2017, and for other purposes. At the request of Mr. BURR, the name an original bill to reauthorize agricul- AMENDMENT NO. 2224 of the Senator from Oklahoma (Mr. tural programs through 2017, and for At the request of Mrs. MCCASKILL, COBURN) was added as a cosponsor of S. other purposes. her name was added as a cosponsor of 3084, a bill to require the Secretary of AMENDMENT NO. 2159 amendment No. 2224 intended to be pro- Veterans Affairs to reorganize the Vet- At the request of Mrs. SHAHEEN, the posed to S. 3240, an original bill to re- erans Integrated Service Networks of names of the Senator from Ohio (Mr. authorize agricultural programs the Veterans Health Administration, PORTMAN) and the Senator from New through 2017, and for other purposes. and for other purposes. Hampshire (Ms. AYOTTE) were added as AMENDMENT NO. 2228 S. 3204 cosponsors of amendment No. 2159 in- At the request of Ms. CANTWELL, the At the request of Mr. JOHANNS, the tended to be proposed to S. 3240, an name of the Senator from North Da- name of the Senator from Florida (Mr. original bill to reauthorize agricultural kota (Mr. CONRAD) was added as a co- RUBIO) was added as a cosponsor of S. programs through 2017, and for other sponsor of amendment No. 2228 in- 3204, a bill to address fee disclosure re- purposes. tended to be proposed to S. 3240, an quirements under the Electronic Fund AMENDMENT NO. 2167 original bill to reauthorize agricultural Transfer Act, and for other purposes. At the request of Mr. GRASSLEY, the programs through 2017, and for other S. 3223 name of the Senator from South Da- purposes. At the request of Mr. CARDIN, the kota (Mr. JOHNSON) was added as a co- AMENDMENT NO. 2229 name of the Senator from Louisiana sponsor of amendment No. 2167 in- At the request of Mr. BEGICH, the (Mr. VITTER) was added as a cosponsor tended to be proposed to S. 3240, an name of the Senator from Alaska (Ms. of S. 3223, a bill to amend the Internal original bill to reauthorize agricultural MURKOWSKI) was added as a cosponsor

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00048 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.021 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3979 of amendment No. 2229 intended to be AMENDMENT NO. 2323 was a prohibition against political pris- proposed to S. 3240, an original bill to At the request of Ms. LANDRIEU, the oners, such as Suu Kyi, running for of- reauthorize agricultural programs name of the Senator from Maine (Ms. fice. Not surprisingly, the junta-sup- through 2017, and for other purposes. SNOWE) was added as a cosponsor of ported party won over three-quarters AMENDMENT NO. 2232 amendment No. 2323 intended to be pro- of the nonappointed parliamentary At the request of Mr. TESTER, the posed to S. 3240, an original bill to re- seats. The new government took office names of the Senator from Alaska (Mr. authorize agricultural programs on April 1, 2011. through 2017, and for other purposes. BEGICH), the Senator from Montana Shortly after this seemingly unprom- (Mr. BAUCUS) and the Senator from AMENDMENT NO. 2325 ising election, some signs of change North Carolina (Mrs. HAGAN) were At the request of Mr. CHAMBLISS, the began to appear. Suu Kyi was freed added as cosponsors of amendment No. names of the Senator from Louisiana after years under house arrest. By July 2232 intended to be proposed to S. 3240, (Mr. VITTER) and the Senator from Mis- 2011 she was permitted to leave Ran- an original bill to reauthorize agricul- sissippi (Mr. WICKER) were added as co- goon for the first time since her re- tural programs through 2017, and for sponsors of amendment No. 2325 in- lease. In August she visited the new other purposes. tended to be proposed to S. 3240, an capital, Naypyitaw, and met with the original bill to reauthorize agricultural AMENDMENT NO. 2295 new President, Thein Sein. programs through 2017, and for other In September 2011 the government At the request of Mr. UDALL of Colo- purposes. lifted its prohibition against major rado, the names of the Senator from f news Web sites and dropped anti-West- Alaska (Mr. BEGICH) and the Senator ern slogans from state publications. from South Dakota (Mr. JOHNSON) were STATEMENTS ON INTRODUCED That same month the regime an- added as cosponsors of amendment No. BILLS AND JOINT RESOLUTIONS nounced it would suspend action on a 2295 intended to be proposed to S. 3240, By Mr. MCCONNELL (for himself, controversial dam to be constructed by an original bill to reauthorize agricul- Mrs. FEINSTEIN, Mr. MCCAIN, China in Kachin State. The project was tural programs through 2017, and for Mr. DURBIN, and Ms. COLLINS): strongly opposed by democracy advo- other purposes. S.J. Res. 43. A joint resolution ap- cates and ethnic leaders. AMENDMENT NO. 2306 proving the renewal of import restric- As part of its reforms, the legislature At the request of Ms. MURKOWSKI, the tions contained in the Burmese Free- enacted a bill that permitted Suu Kyi names of the Senator from Alaska (Mr. dom and Democracy Act of 2003, and to participate in the April 1, 2012, by- BEGICH) and the Senator from North for other purposes; to the Committee election and made it possible for her Carolina (Mrs. HAGAN) were added as on Foreign Relations. party to reregister, after having tech- Mr. MCCONNELL. Mr. President, cosponsors of amendment No. 2306 in- nically lost its party status for boy- today I rise to discuss events in the tended to be proposed to S. 3240, an cotting the November 2010 balloting. original bill to reauthorize agricultural country of Burma. Every year since In January of 2012 a score of political programs through 2017, and for other 2003, I have come to the floor of the prisoners were released and a prelimi- purposes. U.S. Senate to introduce the Burmese nary cease-fire agreement was reached Freedom and Democracy Act, and AMENDMENT NO. 2308 with the Karen, appearing to end one of every year introduction of this bill has At the request of Mrs. MCCASKILL, the longest running ethnic disputes in been accompanied by a somber message the name of the Senator from Montana the world. to the Senate: that reform in Burma is (Mr. TESTER) was added as a cosponsor In April 2012 Burma held a by-elec- nowhere in sight. That is what I have of amendment No. 2308 intended to be tion to replace lawmakers who had as- said every year going back to 2003. sumed Cabinet roles. For the first time proposed to S. 3240, an original bill to This year, I am pleased to say that reauthorize agricultural programs though the bill’s language is the same, since 1990, the NLD participated in the through 2017, and for other purposes. the message is far different, as is the election. Of the 45 seats that were AMENDMENT NO. 2311 legal effect of the legislation. In a re- open, the NLD contested 44 and won 43. Suu Kyi herself won a seat in what At the request of Mr. BLUMENTHAL, markable turnabout of events over the the name of the Senator from Massa- past 18 months, Burma has made dra- was clearly a dramatic victory for the chusetts (Mr. KERRY) was added as a matic changes for the better. In re- opposition. This spring, for the first cosponsor of amendment No. 2311 in- sponse to these developments, the ad- time in a quarter of a century, Suu Kyi tended to be proposed to S. 3240, an ministration recently decided it will was granted a passport and traveled original bill to reauthorize agricultural ease many of the economic sanctions outside Burma. Thus, in a mere 18 programs through 2017, and for other against Burma through exercise of its months, Suu Kyi has gone from polit- purposes. waiver authority. As a result, this ical prisoner to Member of Parliament. That in and of itself is a remarkable AMENDMENT NO. 2316 year’s Burmese Freedom and Democ- change, and it reflects more broadly At the request of Mr. LEE, the name racy Act would effectively renew only the wide-ranging reforms that have oc- of the Senator from South Carolina a handful of the sanctions against the curred in the country. (Mr. DEMINT) was added as a cosponsor regime and would preserve the admin- In response to the Burmese Govern- of amendment No. 2316 intended to be istration’s flexibility to use its waiver ment’s efforts, on May 17 the State De- proposed to S. 3240, an original bill to authority. partment announced that it would un- reauthorize agricultural programs In 2008, the Burmese junta put in dertake a number of administrative through 2017, and for other purposes. place a new Constitution—a very flawed document. It does not ensure ci- steps to ease sanctions against Burma. AMENDMENT NO. 2318 vilian control of the military. In fact, These include removing both the in- At the request of Ms. LANDRIEU, the the charter may only be amended if vestment ban and the financial services name of the Senator from Maine (Ms. over 75 percent of the Parliament vote ban against Burma, except in trans- SNOWE) was added as a cosponsor of in favor of such changes and one-fourth actions involving bad actors. In addi- amendment No. 2318 intended to be pro- of the seats in Parliament are reserved tion to suspending certain economic posed to S. 3240, an original bill to re- for the military. sanctions, the administration an- authorize agricultural programs In November 2010, Burma held an nounced that it would exchange full through 2017, and for other purposes. election under this new charter, which Ambassadors with Naypyitaw. AMENDMENT NO. 2319 was universally derided as being nei- Mr. President, I support each of these At the request of Ms. LANDRIEU, the ther free nor fair. The party of Nobel steps taken by the State Department. name of the Senator from Maine (Ms. Peace Prize laureate Daw Aung San What caused the Burmese Govern- SNOWE) was added as a cosponsor of Suu Kyi—the National League for De- ment to initiate these democratic re- amendment No. 2319 intended to be pro- mocracy—refused to participate due to forms? It is hard to know for certain, posed to S. 3240, an original bill to re- the unfairness of the electoral process. but sanctions seem to have played an authorize agricultural programs Restrictions on freedom of speech important part in bringing the govern- through 2017, and for other purposes. and assembly were manifest, and there ment around. No country likes being

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00049 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.022 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3980 CONGRESSIONAL RECORD — SENATE June 12, 2012 viewed as a pariah, and the Burmese imports; No. 2, continuing authority tention on this issue. It took a while to regime seems no different. for financial services sanctions but get some traction, but finally he got When I visited Burma back in Janu- leaving in place the authority the ad- some traction, and that is why progress ary, the one thing I heard from all the ministration needs to proceed with the was made in Burma. government officials with whom I easing—the easing—of such restric- I appreciate his mentioning Senator met—the President, the Foreign Min- tions; and No. 3, leaving untouched the FEINSTEIN. She has also been very fo- ister, the Speaker of the Lower administration’s ability to ease the in- cused on this. But no one has been to House—they all said: We want the vestment ban, which is part of a sepa- the floor more than Senator MCCON- sanctions removed. rate bill. NELL talking about this issue. As a re- Suu Kyi herself publicly stated a few Finally, renewal of the Burmese sult of that, we have made progress. It months ago that ‘‘to those who ask Freedom and Democracy Act has con- has been slow, but it has been delib- whether or not sanctions have been ef- tinued bipartisan support in Congress erate, and I think we can see a new day fective, I would say yes, very, very con- and the support of Suu Kyi and the for that country. fidently, because this government is al- democratic opposition in Burma. Mr. MCCONNELL. Mr. President, I ways asking for sanctions to be re- There are, unfortunately, too few thank my good friend from Nevada. moved. . . . So, sanctions have been ef- issues where the administration has I ask unanimous consent that the fective. If sanctions had not been effec- sought to work with Congress in a bi- text of the joint resolution be printed tive this would not be such an impor- partisan manner—mighty few, in fact— in the RECORD. tant issue for them.’’ All of that is but on the issue of sanctions reauthor- There being no objection, the text of from Suu Kyi herself. ization, the State Department and I the joint resolution was ordered to be So some Senators may reasonably are in full agreement. I also know that printed in the RECORD as follows: ask why are we moving this sanctions my longstanding partner on Burma on S.J. RES. 43 bill again if Burma has made such dra- the other side of the aisle, Senator Resolved by the Senate and House of Rep- matically positive steps. Well, there FEINSTEIN, shares my sentiments about resentatives of the United States of America in are several reasons. Let me lay them reauthorizing this measure. As for Bur- Congress assembled, out. ma’s democratic opposition, I spoke SECTION 1. AMENDMENT TO BURMESE FREEDOM First, the Burmese Government still AND DEMOCRACY ACT OF 2003. with Suu Kyi just a few days ago. She Section 9(b)(3) of the Burmese Freedom has not met all the necessary condi- told me she believes the Burmese Free- and Democracy Act of 2003 (Public Law 108– tions to justify a complete—a com- dom and Democracy Act should be re- 61; 50 U.S.C. 1701 note) is amended by strik- plete—repeal of all existing sanctions. newed. ing ‘‘nine years’’ and inserting ‘‘twelve Despite the unmistakable progress If Burma stays on the path it seems years’’. made by the Burmese Government, to be on to reform, it will require sig- SEC. 2. RENEWAL OF IMPORT RESTRICTIONS now is not the time to end our ability nificant help in reforming its economy UNDER BURMESE FREEDOM AND either to encourage further govern- and in developing business practices DEMOCRACY ACT OF 2003. (a) IN GENERAL.—Congress approves the re- ment reform or to revisit sanctions if that encourage enduring foreign direct newal of the import restrictions contained in that became necessary. As Suu Kyi investment and corporate responsi- section 3(a)(1) and section 3A (b)(1) and (c)(1) herself has cautioned, the situation in bility. A great deal of work must be of the Burmese Freedom and Democracy Act Burma is ‘‘not irreversible.’’ Serious done as Burma looks ahead to hosting of 2003. challenges need to be addressed. the Association of Southeast Asian Na- (b) RULE OF CONSTRUCTION.—This joint res- Violence in Kachin State remains a tions in 2014. For the first time in a olution shall be deemed to be a ‘‘renewal res- serious problem. Numerous political half a century, Burma seems—seems— olution’’ for purposes of section 9 of the Bur- mese Freedom and Democracy Act of 2003. prisoners remain behind bars. The con- to be on the right path to reform, and stitution is still completely undemo- SEC. 3. EFFECTIVE DATE. reauthorization of the Burmese Free- This joint resolution and the amendment cratic. And the regime’s relationship dom and Democracy Act places the made by this joint resolution shall take ef- with North Korea, especially when it United States squarely on the side of fect on the date of the enactment of this comes to arms sales with Pyongyang, reform and of reformers. joint resolution or July 26, 2012, whichever remains an issue of grave concern. For the reasons I have laid out, I be- occurs first. As I noted, renewing the Burmese lieve a renewal of this measure is the Mrs. FEINSTEIN. Mr. President, I Freedom and Democracy Act would right step to take. Burma has made rise today once again with my friend leave intact the import ban against great strides over the past 18 months, and colleague from Kentucky, Senator Burmese goods, thus maintaining le- and Congress should recognize those MCCONNELL, to introduce a joint reso- verage the executive branch can utilize strides. At the same time, Congress lution to renew the import ban on to help prompt further reform. Reau- should not be fully satisfied with re- Burma for another year. We are proud thorizing this measure would permit cent reforms, as much more work re- to be joined by Senators MCCAIN and the executive branch, in consultation mains to be done. DURBIN in this important effort. with Congress, to calibrate sanctions In closing, I am introducing the re- Congressman JOE CROWLEY and Con- as necessary, thus preserving its flexi- newal of the Freedom and Democracy gressman PETER KING have introduced bility. Act, originally passed in 2003, for my- this resolution in the House and I Second, the renewal of this sanctions self; Senator FEINSTEIN, with whom I thank them for their leadership and bill will not affect—will not affect—the have worked on this over the years and support. administration’s current efforts to ease referred to in my remarks; Senator Over the past year, we have seen sanctions as announced on May 17. Let JOHN MCCAIN, who has been very active some remarkable changes in Burma me repeat that renewing the Burmese in this area and met with Suu Kyi this after years of violence and repression. Freedom and Democracy Act will leave past year; Senator DURBIN; and Senator But the government of Burma still undisturbed the process for suspending COLLINS, who had the opportunity to has a lot of work to do to demonstrate sanctions announced 3 weeks ago. In meet with Suu Kyi just the week be- to us, the international community, part for this reason, the State Depart- fore last—all of whom are active and and, above all, the people of Burma ment supports renewal of this measure. interested in this issue. that it is truly committed to reform, In fact, a vote for reauthorization of The ACTING PRESIDENT pro tem- democratization, and national rec- the Burmese Freedom and Democracy pore. The majority leader is recog- onciliation. Act should be seen as a vote in support nized. We should renew this ban for another of the administration’s easing of sanc- Mr. REID. Mr. President, before my year as an incentive to the government tions and a vote to support reform ef- friend leaves the floor, I express my ap- of Burma to continue on the path it forts in Burma. preciation—really from our country— has undertaken and take additional ac- As a practical matter, renewal of the for his tireless efforts in focusing at- tions. Burmese Freedom and Democracy Act tention on what has been going on in I have been involved in the struggle would entail, No. 1, extending for an- Burma. He has come to the floor and for freedom and democracy in Burma other year the ban against Burmese given numerous statements to focus at- for 15 years.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00050 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.018 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3981 In 1997, former Senator William Yet, in the past year we have seen I applaud the decision of the Govern- Cohen and I authored legislation re- more positive change than we had in ment of Burma to release hundreds of quiring the President to ban new U.S. the past 20 years. political prisoners, including a number investment in Burma if he determined Indeed, Burma’s new government has of high-profile democracy and human that the government of Burma had taken a number of significant actions rights activists. physically harmed, re-arrested or ex- in an effort to rejoin the international iled Aung San Suu Kyi or committed community. Yet, according to the State Depart- large-scale repression or violence Hundreds of political prisoners were ment, hundreds more remain in deten- against the democratic opposition. released. tion. President Clinton issued the ban in a New legislation broadening the rights Unfortunately, the government of 1997 Executive Order. of political and civic associations has Burma maintains there are no more po- In 2003, after the regime attempted to been enacted; and negotiations with litical prisoners. We must keep the assassinate Aung San Suu Kyi, Senator ethnic minority groups have begun and pressure on Burma until all democracy MCCONNELL and I introduced the Bur- some cease-fires have taken effect. mese Freedom and Democracy Act of In addition, Suu Kyi and her Na- and human rights activists are free and 2003, which placed a complete ban on tional League for Democracy, NLD, able to resume their lives and careers. imports from Burma. It allowed that were allowed to compete in by-elec- As we debate renewing the import ban to be renewed one year at a time. tions for 45 open seats in parliament in ban, it is important to consider the ad- It was signed into law and has been April 2012. vice and counsel of Aung San Suu Kyi Suu Kyi and the NLD won 43 of the 44 renewed annually since then. It is set and the democratic opposition. to expire on July 26, which is why a re- seats they contested. newal of that ban is now before us For those of us who have been in- For her part, Suu Kyi has said that today. spired by her courage, her dedication while she does not oppose suspending But unlike past years, we have some to peace and her tireless efforts for sanctions, the international commu- good news to report. freedom and democracy, it was a thrill- nity must be cautious. Speaking via Burma has begun to take some sig- ing and deeply moving event. Years of Skype to an event in Washington D.C. nificant steps towards embracing de- sacrifice and hard work had shown re- last month she said: mocracy, human rights, and the rule of sults the people of Burma had spoken law. with a clear voice in support of free- I sometimes feel that people are too opti- This is welcome news after so many dom and democracy. mistic about the scene in Burma. You have years of inaction coupled with despotic The U.S. has responded to this re- to remember that the democratization proc- military rule. form process in a number of ways. ess in Burma is not irreversible. I have said How did we get to this point? Secretary Clinton traveled to Burma openly that we can never look upon it as ir- Recall that in 1990 Suu Kyi and her last December and announced the two reversible until such time that the military National League for Democracy over- countries would resume full diplomatic commits itself to democratization solidly whelmingly won the last free par- relations. and efficiently. liamentary elections in Burma, but Following the April parliamentary I understand that Suu Kyi has spo- those results were annulled by the elections, the administration an- ken to Senator MCCONNELL directly military junta, then named the State nounced that it would nominate Derek about this matter and she supports re- Law and Order Restoration Council or Mitchell to be the first U.S. ambas- newing the import ban for another SLORC. sador to Burma in 22 years and suspend These events marked the beginning sanctions on investment and financial year. of more than two decades of violence, services. I believe that renewing this ban will oppression, and human rights abuses. I supported these actions. It is en- help keep Burma on the path to full de- In 2008, the ruling military junta, re- tirely appropriate to acknowledge the mocratization and national reconcili- named the State Peace and Develop- steps Burma has already taken and en- ation and support the work of Suu Kyi, ment Council, pushed through the rati- courage additional reforms. the democratic opposition, and the fication of a new constitution, which Some may ask then: why stop there? reformists in the ruling government. was drafted without the input of the Given the reforms, why not let the ban democratic opposition, led by Aung on imports simply expire? It will give the administration addi- San Suu Kyi. The fact of the matter is, the reforms tional leverage to convince the Burma Elections for the new parliament are not irreversible and the govern- to stay on the right path. were held in November 2010, but Suu ment of Burma still needs to do more The administration will still have Kyi and her National League for De- to respond to the legitimate concerns the authority to waive or suspend the mocracy were prohibited from partici- of the people of Burma and the inter- import ban as it has suspended sanc- pating. national community. The Union Solidarity and Develop- First, it must address the dominant tions on investment and financial serv- ment Party, comprised of ex-military role of the military in Burma under the ices if the Government of Burma took officials, won approximately 80 percent new constitution. the appropriate actions. of the seats. The new parliament elect- The military is guaranteed 25 percent If we let the import ban expire, how- ed former General and Prime Minister, of the seats without elections and re- ever, and Burma backslides on reform Thein Sein, as President. mains independent of any civilian over- and democratization, we would have to Following the elections, Suu Kyi was sight. pass a new law to re-impose the ban. finally released from house arrest, In addition, the Commander-in-Chief after being in prison or house arrest for of the military has the authority to By passing this joint resolution, we the better part of 20 years. dismiss the government and rule the ensure that the administration has the While I was pleased that Suu Kyi was country under Martial Law. flexibility it needs to respond to events free, I was deeply concerned that noth- It goes without saying that such pow- in Burma has it as done so with finan- ing had really changed for the people of ers are incompatible with a truly cial services and investment. Burma. democratic government. Suu Kyi and her party were blocked Second, Burma must stop all violence Suu Kyi herself has argued that from participating in the political against ethnic minorities. I am par- ‘‘sanctions have been effective in per- process. The military maintained its ticularly concerned about reports that suading the government to go for grip on the government and the econ- the Burmese military is continuing at- change.’’ I think renewing the import omy. Democracy advocates and human tacks in Kachin State, displacing thou- ban will push it to go further. rights activists remained in prison. Vi- sands of civilians and killing others. I urge my colleagues to support this olence against ethnic minority groups Third, the government must release joint resolution. continued unabated. all political prisoners.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00051 Fmt 4624 Sfmt 0634 E:\CR\FM\G12JN6.027 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3982 CONGRESSIONAL RECORD — SENATE June 12, 2012 SUBMITTED RESOLUTIONS timely mitigation constitute extraordinary searchers believe there are several hundred circumstances; and other types of unidentified mitochondrial Whereas, for the foregoing reasons, the ap- diseases and further research is necessary to SENATE RESOLUTION 489—EX- pointment of an outside special counsel help identify those diseases; PRESSING THE SENSE OF THE would serve the public interest: Now, there- Whereas mitochondrial dysfunction is as- SENATE ON THE APPOINTMENT fore, be it sociated with many diseases, such as Parkin- Resolved, That it is the sense of the Senate son’s disease, Alzheimer’s disease, BY THE ATTORNEY GENERAL OF that— AN OUTSIDE SPECIAL COUNSEL amyotrophic lateral sclerosis, autism, diabe- (1) the Attorney General should— tes, cancer, and many other diseases associ- TO INVESTIGATE CERTAIN RE- (A) delegate to an outside special counsel ated with aging; CENT LEAKS OF APPARENTLY all of the authority of the Attorney General Whereas research into primary CLASSIFIED AND HIGHLY SEN- with respect to investigations by the Depart- mitochondrial diseases can provide applica- SITIVE INFORMATION ON UNITED ment of Justice of any and all unauthorized tions to biomedical research and a window STATES MILITARY AND INTEL- disclosures of classified and highly sensitive into our understanding of many other dis- LIGENCE PLANS, PROGRAMS, information related to various United States eases, including possible treatments and military and intelligence plans, programs, AND OPERATIONS cures for diseases such as Parkinson’s dis- and operations reported in recent publica- ease, Alzheimer’s disease, amyotrophic lat- Mr. MCCAIN (for himself, Mr. INHOFE, tions; and eral sclerosis, autism, diabetes, cancer, and Mr. WICKER, Mr. BROWN of Massachu- (B) direct an outside special counsel to ex- many other diseases associated with aging; setts, Ms. AYOTTE, Mr. PORTMAN, Ms. ercise that authority independently of the Whereas researchers estimate that one in supervision or control of any officer of the COLLINS, Mr. GRAHAM, Mr. CORNYN, Mr. 4,000 children will develop a mitochondrial Department of Justice; BURR, Mr. ROBERTS, Mr. BLUNT, Mr. disease related to an inherited mutation by (2) under such authority, the outside spe- 10 years of age, and recent studies of umbil- COBURN, Mr. PAUL, Mr. BOOZMAN, Mr. cial counsel should investigate any and all ical cord blood samples show that one in 200 ISAKSON, Mr. GRASSLEY, Mr. KIRK, Mr. unauthorized disclosures of classified and people could develop a mitochondrial disease CHAMBLISS, Mr. RUBIO, and Mr. highly sensitive information on which such in their lifetime; HOEVEN) submitted the following reso- recent publications were based and, where Whereas researchers also believe that lution; which was referred to the Com- appropriate, prosecute those responsible; and those numbers could be much higher, given mittee on the Judiciary: (3) the President should assess— the difficulty associated with diagnosing (A) whether any such unauthorized disclo- S. RES. 489 mitochondrial disease and the many cases sures of classified and highly sensitive infor- Whereas over the past few weeks, several mation damaged the national security of the that are either misdiagnosed or never diag- publications have been released that cite United States; and nosed; several highly sensitive United States mili- (B) how such damage can be mitigated. Whereas there are no cures for tary and intelligence counterterrorism mitochondrial diseases, nor are there spe- plans, programs, and operations; f cific treatments for any of those diseases; Whereas these publications appear to be SENATE RESOLUTION 490—DESIG- Whereas human energy production in- based in substantial part on unauthorized NATING THE WEEK OF SEP- volves multiple organ systems, and therefore disclosures of classified information; TEMBER 16, 2012, AS ‘‘MITOCHON- primary mitochondrial diseases research in- Whereas the unauthorized disclosure of volves many Institutes at the National Insti- DRIAL DISEASE AWARENESS classified information is a felony under Fed- tutes of Health; eral law; WEEK’’, REAFFIRMING THE IM- Whereas, according to the National Insti- Whereas the identity of the sources in PORTANCE OF AN ENHANCED tutes of Health, more than $600,000,000 is these publications include senior administra- AND COORDINATED RESEARCH being spent on research related to tion officials, participants in these reported EFFORT ON MITOCHONDRIAL mitochondrial functions, of which $18,000,000 plans, programs, and operations, and current DISEASES, AND COMMENDING is being spent on actual primary American officials who spoke anonymously THE NATIONAL INSTITUTES OF mitochondrial diseases research; about these reported plans, programs, and Whereas the National Institutes of Health operations because they remain classified, HEALTH FOR ITS EFFORTS TO IMPROVE THE UNDERSTANDING has taken an increased interest in primary parts of them are ongoing, or both; mitochondrial diseases and has sponsored a OF MITOCHONDRIAL DISEASES Whereas such unauthorized disclosures number of activities in recent years aimed at may inhibit the ability of the United States Mrs. BOXER submitted the following advancing mitochondrial medicine, including to employ the same or similar plans, pro- resolution; which was referred to the incorporating research into functional vari- grams, or operations in the future; put at Committee on Health, Education, ations in mitochondria in the Trans- risk the national security of the United formative Research Awards Initiative; States and the safety of the men and women Labor, and Pensions: S. RES. 490 Whereas, in March 2012, the National Insti- sworn to protect it; and dismay our allies; tutes of Health convened a 2-day symposium Whereas under Federal law, the Attorney Whereas Brittany Wilkinson, the first entitled ‘‘Translational Research in Primary General may appoint an outside special Youth Ambassador of the United Mitochondrial Diseases: Obstacles and Op- counsel when an investigation or prosecution Mitochondrial Disease Foundation, joined portunities’’, which brought together leading would present a conflict of interest or other other Youth Ambassadors of the United government and private sector researchers extraordinary circumstances and when doing Mitochondrial Disease Foundation in work- and drug developers to share information re- so would serve the public interest; ing tirelessly to raise awareness about lated to primary mitochondrial diseases, de- Whereas investigations of unauthorized mitochondrial diseases; velop systems to facilitate future collabora- disclosures of classified information are ordi- Whereas mitochondrial diseases result tion, survey obstacles, needs, and priorities narily conducted by the Federal Bureau of from a defect that reduces the ability of the of primary mitochondrial diseases research, Investigation with assistance from prosecu- mitochondria in a cell to produce energy; and develop mechanisms to enhance trans- tors in the National Security Division of the Whereas, as mitochondria fail to produce Department of Justice; enough energy, cells cease to function prop- lation of basic science discoveries to Whereas there is precedent for officials in erly and eventually die, leading to the fail- diagnostics and therapeutics; and the National Security Division of the De- ure of organ systems and possibly the death Whereas, as a consequence of the sympo- partment of Justice to recuse itself from of the affected individuals; sium, a white paper has been developed that such investigations to avoid even the appear- Whereas mitochondrial diseases can identifies current research challenges and ance of impropriety or undue influence, and present themselves at any age, and mor- impediments and a suggested course of ac- it appears that there have been such recusals tality rates vary depending upon the par- tion to address those challenges: Now, there- with respect to the investigation of at least ticular disease; fore, be it one of these unauthorized disclosures; Whereas the most severe mitochondrial Resolved, That the Senate— Whereas such recusals are indicative of the diseases result in the progressive loss of (1) designates the week of September 16, serious complications already facing the De- function in multiple organs, including the 2012, as ‘‘Mitochondrial Disease Awareness partment of Justice in investigating these loss of neurological and muscle function, and Week’’; matters; death within several years; (2) reaffirms the importance of an en- Whereas the severity of the national secu- Whereas mitochondrial diseases are a rel- hanced and coordinated research effort rity implications of these disclosures; the atively newly identified group of diseases, aimed at improving the understanding of pri- imperative for investigations of these disclo- first recognized in the late 1960s, and diag- mary mitochondrial diseases and the devel- sures to be conducted independently so as to nosis of mitochondrial diseases is extremely opment of treatments and cures; avoid even the appearance of impropriety or difficult; (3) commends the National Institutes of undue influence; and the need to conduct Whereas there are more than 100 identified Health for its efforts to organize the sympo- these investigations expeditiously to ensure primary mitochondrial diseases, but re- sium entitled ‘‘Translational Research in

VerDate Mar 15 2010 05:14 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00052 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.035 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3983 Primary Mitochondrial Disease: Obstacles Whereas more than 70 countries and nearly ment officers, social workers, health care and Opportunities’’ to improve the under- 300 students will compete in the 44th Inter- providers, victims’ advocates, and other pro- standing of mitochondrial diseases and to en- national Chemistry Olympiad in theoretical fessionals and agencies for their efforts to hance collaboration and chart a course for and practical examinations covering analyt- advance awareness of elder abuse; and the future with respect to research on ical chemistry, biochemistry, inorganic (3) encourages members of the public and mitochondrial diseases; chemistry, organic chemistry, physical professionals who work with older adults to (4) encourages the National Institutes of chemistry, and spectroscopy; act as catalysts to promote awareness and Health to place a greater priority on re- Whereas the objective of the International long-term prevention of elder abuse by search into primary mitochondrial diseases, Chemistry Olympiad is to promote inter- reaching out to local adult protective serv- to continue to explore the connections be- national relationships in STEM education ices agencies and by learning to recognize, tween mitochondrial dysfunction and other (particularly in chemistry), cooperation report, and respond to elder abuse. systemic diseases, and to promote collabora- among students, and the exchange of peda- tion and coordination among the Institutes gogical and scientific experience in STEM f of the National Institutes of Health and with education; other organizations; and Whereas STEM education at the secondary SENATE CONCURRENT RESOLU- (5) encourages the National Institutes of school level is critically important to the fu- TION 48—RECOGNIZING 375 YEARS Health to consider the recommendations and ture of the United States; and OF SERVICE OF THE NATIONAL address research directions identified in the Whereas the students who will compete in white paper developed from the symposium GUARD AND AFFIRMING CON- the International Chemistry Olympiad de- GRESSIONAL SUPPORT FOR A described in paragraph (3), including— serve recognition and support for their ef- (A) enhanced emphasis on research regard- forts: Now, therefore, be it PERMANENT OPERATIONAL RE- ing basic mitochondrial physiology, vari- Resolved, That the Senate— SERVE AS A COMPONENT OF ations in mitochondrial function in different (1) welcomes the 44th International Chem- THE ARMED FORCES body tissues, and improvements in the ma- istry Olympiad to the United States; Mr. LEAHY (for himself and Mr. nipulation of mitochondrial DNA; (2) recognizes the need to encourage young (B) supporting research that will provide people to pursue careers in the fields of GRAHAM) submitted the following con- the basis for drug development, including science (including chemistry), technology, current resolution; which was referred improved mouse models, efforts to achieve engineering, and mathematics; and to the Committee on Armed Services: breakthroughs in in vivo research capability, (3) commends the University of Maryland, S. CON. RES. 48 consensus development around assays, and College Park for hosting and the American next generation sequencing; Whereas the first volunteer militia unit in Chemical Society for organizing the 44th America was formed in 1636 in Massachusetts (C) expansion and support of stable, long- International Chemistry Olympiad. term patient registries and biospecimen re- Bay, followed by other units in the colonies positories in collaboration with patient ad- f of Virginia and Connecticut; vocacy groups to promote enrollment and ul- SENATE RESOLUTION 492—DESIG- Whereas from the opening salvos at Lex- timately pave the way for natural history ington and Concord, to the conclusion of the NATING JUNE 15, 2012, AS American Revolutionary War in 1783, the trials; and ‘‘WORLD ELDER ABUSE AWARE- (D) the establishment of a working group volunteer patriots and minutemen of the to develop a system for the continued inter- NESS DAY’’ American militia helped create the United action among the Institutes within the Na- Mr. BLUMENTHAL (for himself, Mr. States of America; tional Institutes of Health and with other or- KIRK, Mr. DURBIN, and Mr. NELSON of Whereas the American founding fathers ganizations and the establishment of a Florida) submitted the following reso- wrote Article I, Section 8, of the United States Constitution to keep the militia website on research on primary lution; which was considered and mitochondrial diseases. model, authorizing only a small standing agreed to: military force that could organize, train, and f S. RES. 492 equip militia volunteers when needed; SENATE RESOLUTION 491—COM- Whereas at least 2,000,000 older adults are Whereas the American militia answered MENDING THE PARTICIPANTS IN maltreated each year in the United States; the call during the second war with Britain THE 44TH INTERNATIONAL Whereas the vast majority of the abuse, in 1812; CHEMISTRY OLYMPIAD AND REC- neglect, and exploitation of older adults in Whereas in the 19th Century, during the OGNIZING THE IMPORTANCE OF the United States goes unidentified and un- Mexican-American War, the United States Civil War, and the Spanish-American War, EDUCATION IN THE FIELDS OF reported; Whereas only 1 in 44 cases of financial State militia volunteers mustered when SCIENCE, TECHNOLOGY, ENGI- abuse of older adults is reported; called and more than 300,000 gave their lives NEERING, AND MATHEMATICS TO Whereas at least $2,900,000,000 is taken in service of the United States of America; THE FUTURE OF THE UNITED from older adults each year due to financial Whereas in World War I, nearly all Na- STATES abuse and exploitation; tional Guardsmen were mobilized into Fed- eral service, and while they represented only Mr. COONS (for himself, Mr. BOOZ- Whereas elder abuse, neglect, and exploi- tation have no boundaries and cross all ra- 15 percent of the total United States Army, MAN, Ms. MIKULSKI, Mr. ALEXANDER, cial, social, class, gender, and geographic they comprised 40 percent of the American and Ms. MURKOWSKI) submitted the fol- lines; divisions sent to France and sustained 43 lowing resolution; which was consid- Whereas older adults who are abused are 3 percent of the casualties in combat; ered and agreed to: times more likely to die earlier than older Whereas in World War II, the National S. RES. 491 adults of the same age who are not abused; Guard comprised 19 Army divisions and 29 Whereas the global economy of the future Whereas the percentage of individuals in observation squadrons with aircraft assigned will require a workforce that is educated in the United States who are 60 years of age or to the United States Army Air Forces; the fields of science, technology, engineer- older will nearly double by 2020; Whereas the National Defense Act of 1947 ing, and mathematics (referred to in this Whereas, although all 50 States have laws formed the Air National Guard, created a preamble as ‘‘STEM’’); against elder abuse, incidents of elder abuse minimum of one flying unit in each State, Whereas the science of chemistry is vital have increased by 150 percent over the last 10 with the result of more than 44,000 Air Guard to the improvement of human life because years; troops serving in Korea and 4,000 Air Guard chemistry has the power to transform; Whereas public awareness has the poten- troops in Vietnam; Whereas chemistry improves human lives tial to increase the identification and report- Whereas the Air National Guard flew 30,000 by providing critical solutions to global ing of elder abuse by the public, profes- sorties and 50,000 combat hours during Oper- challenges involving safe food, water, trans- sionals, and victims, and can act as a cata- ation Desert Storm over 37 days and were portation, and products, alternate sources of lyst to promote issue-based education and some of the first units into the fight; energy, improved health, and a healthy and long-term prevention; and Whereas on September 11, 2001, the first sustainable environment; Whereas private individuals and public fighter jets over New York City and Wash- Whereas the International Chemistry agencies must work to combat crime and vi- ington, DC, were Air National Guard F–15 Olympiad is an annual competition for the olence against older adults and vulnerable and F–16 aircraft from Massachusetts and most talented secondary school chemistry adults, particularly in light of continued re- North Dakota, with over 400 more Air Na- students in the world that seeks to stimulate ductions in funding for vital services: Now, tional Guard fighter aircraft on alert by that interest in chemistry through creative prob- therefore, be it afternoon; lem solving; Resolved, That the Senate— Whereas 456,974 Air and Army National Whereas the 44th International Chemistry (1) designates June 15, 2012 as ‘‘World Elder Guard soldiers and airmen have deployed in Olympiad will be held at the University of Abuse Awareness Day’’; the many campaigns since 9/11; Maryland, College Park from July 21 (2) recognizes judges, lawyers, adult pro- Whereas Air and Army National Guard sol- through 30, 2012; tective services professionals, law enforce- diers and airmen have been involved in

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00053 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.028 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3984 CONGRESSIONAL RECORD — SENATE June 12, 2012 countless domestic response missions, in- to the bill S. 3240, supra; which was ordered SA 2372. Mr. JOHANNS submitted an cluding missions in response to hurricanes, to lie on the table. amendment intended to be proposed by him tornadoes, floods, and forest fires; SA 2353. Mr. COBURN submitted an to the bill S. 3240, supra; which was ordered Whereas during the Cold War, the National amendment intended to be proposed by him to lie on the table. Guard was regarded as a Strategic Reserve to the bill S. 3240, supra; which was ordered SA 2373. Mr. WICKER (for himself, Mr. to be held in case of a Soviet invasion of Eu- to lie on the table. CONRAD, Mr. INHOFE, Ms. LANDRIEU, Mr. rope, yet, since 9/11, the National Guard and SA 2354. Mr. KYL submitted an amend- COCHRAN, and Mr. TESTER) submitted an the Federal Reserves have made the transi- ment intended to be proposed by him to the amendment intended to be proposed by him tion to an Operational Reserve, in constant bill S. 3240, supra; which was ordered to lie to the bill S. 3240, supra; which was ordered use and rotation for missions at home and on the table. to lie on the table. abroad; SA 2355. Mr. BOOZMAN submitted an SA 2374. Mr. DEMINT submitted an amend- Whereas the Operational Reserve has time amendment intended to be proposed by him ment intended to be proposed by him to the and again demonstrated its readiness to to the bill S. 3240, supra; which was ordered bill S. 3240, supra; which was ordered to lie meet operational requirements, and its to lie on the table. on the table. mission- and cost-effectiveness and vol- SA 2356. Mr. BOOZMAN submitted an SA 2375. Mr. MENENDEZ submitted an unteerism are the heart of modern United amendment intended to be proposed by him amendment intended to be proposed by him States military service; to the bill S. 3240, supra; which was ordered to the bill S. 3240, supra; which was ordered Whereas the Operational Reserve must be to lie on the table. to lie on the table. sustained by a fully-manned and fully-funded SA 2357. Mr. BOOZMAN submitted an SA 2376. Mr. TOOMEY submitted an National Guard in the spirit intended by the amendment intended to be proposed by him amendment intended to be proposed by him Framers and enshrined in Article I of the to the bill S. 3240, supra; which was ordered to the bill S. 3240, supra; which was ordered Constitution; and to lie on the table. to lie on the table. Whereas the Air Force, in its fiscal year SA 2358. Mr. BOOZMAN submitted an SA 2377. Mr. TOOMEY submitted an 2013 budget, has advanced a proposal to con- amendment intended to be proposed by him amendment intended to be proposed by him vert the Air National Guard from the Oper- to the bill S. 3240, supra; which was ordered to the bill S. 3240, supra; which was ordered ational Reserve to the Strategic Reserve of to lie on the table. to lie on the table. yesteryear: Now, therefore, be it SA 2359. Mr. BOOZMAN submitted an SA 2378. Mr. TOOMEY submitted an Resolved by the Senate (the House of Rep- amendment intended to be proposed by him amendment intended to be proposed by him resentatives concurring), That Congress— to the bill S. 3240, supra; which was ordered to the bill S. 3240, supra; which was ordered (1) recognizes the critical importance of to lie on the table. to lie on the table. the Operational Reserve as a component of SA 2360. Mr. BOOZMAN (for himself and SA 2379. Mr. TOOMEY submitted an the Armed Forces, particularly as a means of Mr. JOHANNS) submitted an amendment in- amendment intended to be proposed by him preserving combat power during a time of tended to be proposed by him to the bill S. to the bill S. 3240, supra; which was ordered budget austerity; 3240, supra; which was ordered to lie on the to lie on the table. (2) supports making permanent the Oper- table. SA 2380. Mr. CRAPO submitted an amend- ational Reserve as the cornerstone of mili- SA 2361. Mr. BOOZMAN submitted an ment intended to be proposed by him to the tary manpower in the decades to come; amendment intended to be proposed by him bill S. 3240, supra; which was ordered to lie (3) repudiates proposals to return the Re- to the bill S. 3240, supra; which was ordered on the table. serve Components to a diminished or purely to lie on the table. SA 2381. Mr. MERKLEY submitted an strategic role in United States national secu- SA 2362. Mr. BROWN of Ohio (for himself, amendment intended to be proposed by him rity; Mr. NELSON of Nebraska, Mr. FRANKEN, Mr. to the bill S. 3240, supra; which was ordered (4) affirms the growth of the Operational SANDERS, Mr. BINGAMAN, Mr. JOHNSON of to lie on the table. Reserve as circumstances warrant; and South Dakota, Mr. HARKIN, Mr. LEAHY, Mr. SA 2382. Mr. MERKLEY (for himself, Mrs. (5) recognizes the dual-status, State-Fed- TESTER, Mr. MERKLEY, and Mr. KERRY) sub- FEINSTEIN, Mr. SANDERS, and Mr. KERRY) eral National Guard as the foundation of the mitted an amendment intended to be pro- submitted an amendment intended to be pro- Operational Reserve and of military man- posed by him to the bill S. 3240, supra; which posed by him to the bill S. 3240, supra; which power now and in the future. was ordered to lie on the table. was ordered to lie on the table. SA 2363. Mr. VITTER submitted an amend- SA 2383. Mr. COCHRAN submitted an f ment intended to be proposed by him to the amendment intended to be proposed by him AMENDMENTS SUBMITTED AND bill S. 3240, supra; which was ordered to lie to the bill S. 3240, supra; which was ordered PROPOSED on the table. to lie on the table. SA 2364. Mr. BINGAMAN (for himself and SA 2384. Mr. CARDIN (for himself, Mr. SA 2344. Mr. MENENDEZ submitted an Mrs. HUTCHISON) submitted an amendment CARPER, Mr. CASEY, Mr. COONS, Ms. MIKUL- amendment intended to be proposed by him intended to be proposed by him to the bill S. SKI, Mr. ROCKEFELLER, Mr. WARNER, and Mr. to the bill S. 3240, to reauthorize agricultural 3240, supra; which was ordered to lie on the WEBB) submitted an amendment intended to programs through 2017, and for other pur- table. be proposed by him to the bill S. 3240, supra; poses; which was ordered to lie on the table. SA 2365. Mr. BEGICH (for himself and Mr. which was ordered to lie on the table. SA 2345. Mr. MANCHIN (for himself and MCCAIN) submitted an amendment intended SA 2385. Mr. TESTER submitted an amend- Ms. AYOTTE) submitted an amendment in- to be proposed by him to the bill S. 3240, ment intended to be proposed by him to the tended to be proposed by him to the bill S. supra; which was ordered to lie on the table. bill S. 3240, supra; which was ordered to lie 3240, supra; which was ordered to lie on the SA 2366. Mrs. HAGAN submitted an amend- on the table. table. ment intended to be proposed by her to the SA 2386. Mr. SANDERS (for himself and SA 2346. Mr. GRAHAM submitted an bill S. 3240, supra; which was ordered to lie Mr. LEAHY) submitted an amendment in- amendment intended to be proposed by him on the table. tended to be proposed by him to the bill S. to the bill S. 3240, supra; which was ordered SA 2367. Mrs. HAGAN (for herself, Mr. 3240, supra; which was ordered to lie on the to lie on the table. CRAPO, Mrs. MCCASKILL, Mr. RISCH, Mr. table. SA 2347. Mr. NELSON of Nebraska sub- PRYOR, Mr. CHAMBLISS, Ms. LANDRIEU, and SA 2387. Mr. BOOZMAN submitted an mitted an amendment intended to be pro- Mr. VITTER) submitted an amendment in- amendment intended to be proposed by him posed by him to the bill S. 3240, supra; which tended to be proposed by her to the bill S. to the bill S. 3240, supra; which was ordered was ordered to lie on the table. 3240, supra; which was ordered to lie on the to lie on the table. SA 2348. Mr. NELSON of Nebraska sub- table. SA 2388. Mr. WYDEN submitted an amend- mitted an amendment intended to be pro- SA 2368. Mrs. GILLIBRAND submitted an ment intended to be proposed by him to the posed by him to the bill S. 3240, supra; which amendment intended to be proposed by her bill S. 3240, supra; which was ordered to lie was ordered to lie on the table. to the bill S. 3240, supra; which was ordered on the table. SA 2349. Mr. GRASSLEY submitted an to lie on the table. SA 2389. Mr. REID (for Ms. STABENOW (for amendment intended to be proposed by him SA 2369. Ms. CANTWELL submitted an herself and Mr. ROBERTS)) proposed an to the bill S. 3240, supra; which was ordered amendment intended to be proposed by her amendment to the bill S. 3240, supra. to lie on the table. to the bill S. 3240, supra; which was ordered SA 2390. Mr. REID proposed an amendment SA 2350. Mr. GRASSLEY submitted an to lie on the table. to amendment SA 2389 proposed by Mr. REID amendment intended to be proposed by him SA 2370. Ms. CANTWELL submitted an (for Ms. STABENOW (for herself and Mr. ROB- to the bill S. 3240, supra; which was ordered amendment intended to be proposed by her ERTS)) to the bill S. 3240, supra. to lie on the table. to the bill S. 3240, supra; which was ordered SA 2391. Mr. REID proposed an amendment SA 2351. Mr. GRASSLEY submitted an to lie on the table. to the bill S. 3240, supra. amendment intended to be proposed by him SA 2371. Mr. MERKLEY (for himself and SA 2392. Mr. REID proposed an amendment to the bill S. 3240, supra; which was ordered Ms. COLLINS) submitted an amendment in- to amendment SA 2391 proposed by Mr. REID to lie on the table. tended to be proposed by him to the bill S. to the bill S. 3240, supra. SA 2352. Mr. COBURN submitted an 3240, supra; which was ordered to lie on the SA 2393. Mr. REID proposed an amendment amendment intended to be proposed by him table. to amendment SA 2392 proposed by Mr. REID

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00054 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.034 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3985 to the amendment SA 2391 proposed by Mr. SA 2345. Mr. MANCHIN (for himself tries have a vital interest in working to- REID to the bill S. 3240, supra. and Ms. AYOTTE) submitted an amend- gether to prevent the Government of Iran SA 2394. Mr. DEMINT (for himself and Mr. ment intended to be proposed by him from acquiring a nuclear weapons capa- LEE) submitted an amendment intended to bility.’’ be proposed by him to the bill S. 3240, supra; to the bill S. 3240, to reauthorize agri- (8) If the Government of the Islamic Re- which was ordered to lie on the table. cultural programs through 2017, and for public of Iran were successful in acquiring a SA 2395. Mr. AKAKA submitted an amend- other purposes; which was ordered to nuclear weapon capability, it would likely ment intended to be proposed by him to the lie on the table; as follows: spur other countries in the region to con- bill S. 3240, supra; which was ordered to lie On page 361, between lines 8 and 9, insert sider developing their own nuclear weapons on the table. the following: capabilities. SA 2396. Mr. AKAKA submitted an amend- SEC. 4208. DIETARY GUIDELINES FOR AMERI- (9) On December 6, 2011, Prince Turki al- ment intended to be proposed by him to the CANS. Faisal of Saudi Arabia stated that if inter- bill S. 3240, supra; which was ordered to lie Section 301(a) of the National Nutrition national efforts to prevent Iran from obtain- on the table. Monitoring and Related Research Act of 1990 ing nuclear weapons fail, ‘‘we must, as a SA 2397. Mr. AKAKA submitted an amend- (7 U.S.C. 5341(a)) is amended by adding at the duty to our country and people, look into all ment intended to be proposed by him to the end the following: options we are given, including obtaining bill S. 3240, supra; which was ordered to lie these weapons ourselves’’. ‘‘(3) PREGNANT WOMEN AND YOUNG CHIL- on the table. (10) Top leaders of the Government of the SA 2398. Mr. AKAKA submitted an amend- DREN.—Not later than the 2020 report and in each report thereafter, the Secretaries shall Islamic Republic of Iran have repeatedly ment intended to be proposed by him to the threatened the existence of the State of include national nutritional and dietary in- bill S. 3240, supra; which was ordered to lie Israel, pledging to ‘‘wipe Israel off the map’’. formation and guidelines for pregnant on the table. (11) The Department of State has des- women and children from birth until the age SA 2399. Mr. LEAHY submitted an amend- ignated Iran as a state sponsor of terrorism of 2.’’. ment intended to be proposed by him to the since 1984 and characterized Iran as the bill S. 3240, supra; which was ordered to lie ‘‘most active state sponsor of terrorism’’. on the table. SA 2346. Mr. GRAHAM submitted an (12) The Government of the Islamic Repub- SA 2400. Mr. LEAHY submitted an amend- amendment intended to be proposed by lic of Iran has provided weapons, training, ment intended to be proposed to amendment him to the bill S. 3240, to reauthorize funding, and direction to terrorist groups, SA 2343 submitted by Mr. CHAMBLISS (for agricultural programs through 2017, including Hamas, Hezbollah, and Shiite mili- himself and Mr. ISAKSON) and intended to be and for other purposes; which was or- tias in Iraq that are responsible for the mur- proposed to the bill S. 3240, supra; which was dered to lie on the table; as follows: ders of hundreds of United States forces and ordered to lie on the table. innocent civilians. At the end of subtitle C of title XII, add SA 2401. Mr. UDALL of Colorado submitted (13) On July 28, 2011, the Department of the the following: an amendment intended to be proposed by Treasury charged that the Government of him to the bill S. 3240, supra; which was or- SEC. 12205. SENSE OF CONGRESS ON NUCLEAR Iran had forged a ‘‘secret deal’’ with al Qaeda dered to lie on the table. PROGRAM OF IRAN. to facilitate the movement of al Qaeda fight- SA 2402. Mr. MORAN submitted an amend- (a) FINDINGS.—Congress makes the fol- ers and funding through Iranian territory. ment intended to be proposed by him to the lowing findings: (14) In October 2011, senior leaders of Iran’s bill S. 3240, supra; which was ordered to lie (1) Since at least the late 1980s, the Gov- Islamic Revolutionary Guard Corps (IRGC) on the table. ernment of the Islamic Republic of Iran has Quds Force were implicated in a terrorist SA 2403. Mr. MORAN submitted an amend- engaged in a sustained and well-documented plot to assassinate Saudi Arabia’s Ambas- ment intended to be proposed by him to the pattern of illicit and deceptive activities to sador to the United States on United States bill S. 3240, supra; which was ordered to lie acquire nuclear capability. soil. on the table. (2) The United Nations Security Council (15) On December 26, 2011, the United Na- f has adopted multiple resolutions since 2006 tions General Assembly passed a resolution demanding the full and sustained suspension denouncing the serious human rights abuses TEXT OF AMENDMENTS of all uranium enrichment-related and re- occurring in the Islamic Republic of Iran, in- SA 2344. Mr. MENENDEZ submitted processing activities by the Government of cluding torture, cruel and degrading treat- an amendment intended to be proposed the Islamic Republic of Iran and its full co- ment in detention, the targeting of human by him to the bill S. 3240, to reauthor- operation with the International Atomic En- rights defenders, violence against women, ergy Agency (IAEA) on all outstanding ize agricultural programs through 2017, and ‘‘the systematic and serious restrictions issues related to its nuclear activities, par- on freedom of peaceful assembly’’ as well as and for other purposes; which was or- ticularly those concerning the possible mili- severe restrictions on the rights to ‘‘freedom dered to lie on the table; as follows: tary dimensions of its nuclear program. of thought, conscience, religion or belief’’. On page 361, between lines 8 and 9, insert (3) On November 8, 2011, the IAEA issued an (16) President Barack Obama, through the the following: extensive report that— P5+1 process, has made repeated efforts to SEC. 4208. LEAN FINELY TEXTURED BEEF. (A) documents ‘‘serious concerns regarding engage the Government of the Islamic Re- (a) SCHOOL MEAL PROGRAMS.—Section 14 of possible military dimensions to Iran’s nu- public of Iran in dialogue about Iran’s nu- the Richard B. Russell National School clear programme’’; clear program and its international commit- Lunch Act (42 U.S.C. 1762a) is amended by (B) states that ‘‘Iran has carried out ac- ments under the Treaty on the Non-Pro- adding at the end the following: tivities relevant to the development of a nu- liferation of Nuclear Weapons, done at Wash- ‘‘(i) LEAN FINELY TEXTURED BEEF.—The clear device’’; and ington, London, and Moscow July 1, 1968, and Secretary shall give States and school food (C) states that the efforts described in sub- entered into force March 5, 1970 (commonly authorities the option to purchase and re- paragraphs (A) and (B) may be ongoing. known as the ‘‘Nuclear Non-Proliferation ceive meat and meat food products that do (4) As of November 2008, Iran had produced, Treaty’’). not contain low-temperature rendered prod- according to the IAEA— (17) Representatives of the P5+1 countries uct, also known as lean finely textured beef (A) approximately 630 kilograms of ura- (the United States, France, Germany, the (as defined by the Secretary), for use in nium hexaflouride enriched up to 3.5 percent People’s Republic of China, the Russian Fed- school meal programs under this Act and the uranium-235; and eration, and the United Kingdom) and rep- Child Nutrition Act of 1966 (42 U.S.C. 1771 et (B) no uranium hexaflouride enriched up to resentatives of the Islamic Republic of Iran seq.).’’. 20 percent uranium-235. held negotiations on Iran’s nuclear program (b) LABELING.—Section 1(n) of the Federal (5) As of November 2011, Iran had produced, in Istanbul, Turkey on April 14, 2012, and Meat Inspection Act (21 U.S.C. 601(n)) is according to the IAEA— these discussions are set to resume in Bagh- amended— (A) nearly 5,000 kilograms of uranium dad, Iraq on May 23, 2012. (1) in paragraph (11), by striking ‘‘or’’ at hexaflouride enriched up to 3.5 percent ura- (18) On March 31, 2010, President Obama the end; nium-235; and stated that the ‘‘consequences of a nuclear- (2) in paragraph (12), by striking the period (B) 79.7 kilograms of uranium hexaflouride armed Iran are unacceptable’’. at the end and inserting ‘‘; or’’ and enriched up to 20 percent uranium-235. (19) In his State of the Union Address on (3) by adding at the end the following: (6) On January 9, 2012, IAEA inspectors January 24, 2012, President Obama stated, ‘‘(13) if in a package or other container and confirmed that the Government of the Is- ‘‘Let there be no doubt: America is deter- at the final point of sale the meat or meat lamic Republic of Iran had begun enrichment mined to prevent Iran from getting a nuclear food product contains low-temperature ren- activities at the Fordow site, including pos- weapon, and I will take no options off the dered product, also known as lean finely tex- sibly enrichment of uranium hexaflouride up table to achieve that goal.’’ tured beef (as defined by the Secretary), un- to 20 percent uranium-235. (20) On March 4, 2012, President Obama less the package or other container bears a (7) Section 2(2) of the Comprehensive Iran stated ‘‘Iran’s leaders should understand label stating that the meat or meat food Sanctions, Accountability, and Divestment that I do not have a policy of containment; product contains the low-temperature ren- Act of 2010 (Public Law 111–195) states, ‘‘The I have a policy to prevent Iran from obtain- dered product.’’. United States and other responsible coun- ing a nuclear weapon’’.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00055 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.037 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3986 CONGRESSIONAL RECORD — SENATE June 12, 2012 (21) Secretary of Defense Leon Panetta On page 998, between lines 7 and 8, insert by him to the bill S. 3240, to reauthor- stated, in December 2011, that it was unac- the following: ize agricultural programs through 2017, ceptable for Iran to acquire nuclear weapons, SEC. 12106. GRAZING ON PUBLIC RANGELANDS. and for other purposes; which was or- Section 6 of the Public Rangelands Im- reaffirmed that all options were on the table dered to lie on the table; as follows: to thwart Iran’s nuclear weapons efforts, and provement Act of 1978 (43 U.S.C. 1905) is vowed that if the United States gets ‘‘intel- amended— Beginning on page 58, strike line 14 and all ligence that they are proceeding with devel- (1) by striking the section heading and all that follows through page 59, line 23 and in- oping a nuclear weapon then we will take that follows through ‘‘(a) For the’’ and in- sert the following: whatever steps necessary to stop it’’. serting the following: As soon as practicable after the date of en- (22) The Department of Defense’s January ‘‘SEC. 6. GRAZING FEES. actment of this Act, and on each October 1 2012 Strategic Guidance stated that United ‘‘(a) ESTABLISHMENT OF FEES.— thereafter, out of any funds in the Treasury States defense efforts in the Middle East ‘‘(1) IN GENERAL.—For the’’; and not otherwise appropriated, the Secretary of would be aimed ‘‘to prevent Iran’s develop- (2) in subsection (a), by adding at the end the Treasury shall transfer to the Sec- ment of a nuclear weapons capability and the following: retary— counter its destabilizing policies’’. ‘‘(2) GRAZING ON PUBLIC RANGELANDS.— (1) to be used to award grants under sec- (23) On April 2, 2012, President Obama stat- When establishing fees for grazing private tion 3601(b) of the Consolidated Farm and ed, ‘‘All the evidence indicates that the Ira- livestock on public rangelands, the Sec- Rural Development Act— nians are trying to develop the capacity to retary (with respect to land managed by the (A) $10,250,000 for fiscal year 2013; and develop nuclear weapons. They might decide Bureau of Land Management) and the Sec- (B) $13,750,000 for each of fiscal years 2014 that, once they have that capacity that retary of Agriculture (with respect to Na- through 2017; and they’d hold off right at the edge in order not tional Forest System land) shall set the rate (2) to carry out the emergency food assist- to incur more sanctions. But, if they’ve got at a level that is comparable to the current ance program established under the Emer- nuclear weapons-building capacity and they private grazing land lease rate in the area or gency Food Assistance Act of 1983 (7 U.S.C. are flouting international resolutions, that region, as determined by the applicable Sec- 7501 et seq.)— creates huge destabilizing effects in the re- retary.’’. (A) $10,250,000 for fiscal year 2013; and gion and will trigger an arms race in the SA 2348. Mr. NELSON of Nebraska (B) $13,750,000 for each of fiscal years 2014 Middle East that is bad for U.S. national se- through 2017. curity but is also bad for the entire world.’’ submitted an amendment intended to (b) SENSE OF CONGRESS.—Congress— be proposed by him to the bill S. 3240, (1) reaffirms that the United States Gov- to reauthorize agricultural programs SA 2351. Mr. GRASSLEY submitted ernment and the governments of other re- through 2017, and for other purposes; an amendment intended to be proposed sponsible countries have a vital interest in by him to the bill S. 3240, to reauthor- working together to prevent the Government which was ordered to lie on the table; as follows: ize agricultural programs through 2017, of Iran from acquiring a nuclear weapons ca- and for other purposes; which was or- pability; On page 998, between lines 7 and 8, insert (2) warns that time is limited to prevent the following: dered to lie on the table; as follows: the Government of the Islamic Republic of SEC. 12106. GRAZING ON NATIONAL FOREST SYS- Beginning on page 34, strike line 4 and all Iran from acquiring a nuclear weapons capa- TEM LAND. that follows through page 36, line 9. Section 6 of the Public Rangelands Im- bility; provement Act of 1978 (43 U.S.C. 1905) is (3) urges continued and increasing eco- amended— SA 2352. Mr. COBURN submitted an nomic and diplomatic pressure on the Is- (1) by striking the section heading and all lamic Republic of Iran until the Government amendment intended to be proposed by that follows through ‘‘(a) For the’’ and in- of the Islamic Republic of Iran agrees to and him to the bill S. 3240, to reauthorize serting the following: implements— agricultural programs through 2017, ‘‘SEC. 6. GRAZING FEES. (A) the full and sustained suspension of all and for other purposes; which was or- ‘‘(a) ESTABLISHMENT OF FEES.— uranium enrichment-related and reprocess- dered to lie on the table; as follows: ‘‘(1) IN GENERAL.—For the’’; and ing activities and compliance with United (2) in subsection (a), by adding at the end At the appropriate place, insert the fol- Nations Security Council resolutions; the following: lowing: (B) complete cooperation with the IAEA on ‘‘(2) GRAZING ON NATIONAL FOREST SYSTEM all outstanding questions related to the nu- SEC. lllll. STUDY; REPORT. LAND.—When establishing fees for grazing clear activities of the Government of the Is- private livestock on public rangelands that (a) DEFINITION OF COMPTROLLER.—In this lamic Republic of Iran, including the imple- is National Forest System land, the Sec- section, the term ‘‘Comptroller’’ means the mentation of the additional protocol to retary of Agriculture shall set the rate at a Comptroller of the United States. Iran’s Safeguards Agreement with the IAEA; level that is comparable to the current pri- (b) STUDY.—Not later than 1 year after the and vate grazing land lease rate in the area or re- date of enactment of this Act, the Comp- (C) a permanent agreement that verifiably gion, as determined by the Secretary of Agri- troller shall conduct an independent study of assures that Iran’s nuclear program is en- culture.’’. domestic Federal nutrition programs— tirely peaceful; (1) to identify— (4) expresses the desire that the P5+1 proc- SA 2349. Mr. GRASSLEY submitted (A) areas of duplication and inefficiencies ess successfully and swiftly leads to the ob- an amendment intended to be proposed after April 1, 2010; and jectives identified in paragraph (3), but by him to the bill S. 3240, to reauthor- (B) programs that share the same goals, warns that, as President Obama has said, the ize agricultural programs through 2017, specific functions, or features; and window for diplomacy is closing; (2) determine whether the express goals of (5) expresses support for the universal and for other purposes; which was or- dered to lie on the table; as follows: the programs are being accomplished in the rights and democratic aspirations of the peo- most efficient way possible. ple of Iran; On page 140, strike line 1 and insert the fol- (c) RECOMMENDATIONS.—The Comptroller (6) strongly supports United States policy lowing: (b) LIMITATION ON MARKETING LOAN GAINS shall make specific recommendations to con- to prevent the Government of the Islamic AND LOAN DEFICIENCY PAYMENTS FOR PEA- solidate or eliminate any duplicative pro- Republic of Iran from acquiring a nuclear NUTS AND OTHER COVERED COMMODITIES.— gram or significantly inefficient program de- weapons capability; Section 1001 of the Food Security Act of 1985 scribed in subsection (b). (7) rejects any United States policy that (7 U.S.C. 1308) is amended by striking sub- (d) REPORT.—Not later than 2 years after would rely on efforts to contain a nuclear section (d) and inserting the following: the date of enactment of this Act, the Comp- weapons-capable Iran; and ‘‘(d) LIMITATION ON MARKETING LOAN GAINS troller shall submit to Congress a report (8) joins the President in ruling out any AND LOAN DEFICIENCY PAYMENTS FOR PEA- that includes— policy that would rely on containment as an NUTS AND OTHER COVERED COMMODITIES.—The (1) the results of the study required under option in response to the Iranian nuclear total amount of marketing loan gains and subsection (b); and threat. loan deficiency payments received, directly ULE OF CONSTRUCTION.—Nothing in (2) the recommendations described in sub- (c) R or indirectly, by a person or legal entity (ex- this section shall be construed as an author- section (c). cept a joint venture or general partnership) ization for the use of force or a declaration for any crop year under subtitle B of the Ag- of war. riculture Reform, Food, and Jobs Act of 2012 SA 2353. Mr. COBURN submitted an SA 2347. Mr. NELSON of Nebraska (or a successor provision) for 1 or more cov- amendment intended to be proposed by submitted an amendment intended to ered commodities may not exceed $75,000.’’. him to the bill S. 3240, to reauthorize be proposed by him to the bill S. 3240, (c) CONFORMING AMENDMENTS.— agricultural programs through 2017, On page 143, line 9, strike ‘‘(c)’’ and insert and for other purposes; which was or- to reauthorize agricultural programs ‘‘(d)’’. through 2017, and for other purposes; dered to lie on the table; as follows: which was ordered to lie on the table; SA 2350. Mr. GRASSLEY submitted At the appropriate place, insert the fol- as follows: an amendment intended to be proposed lowing:

VerDate Mar 15 2010 05:14 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00056 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.040 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3987 SEC. lllll. ELIMINATION OF CERTAIN WORK- SEC. 12207. EXEMPTION OF RURAL WATER mittees of jurisdiction by the end of 15 cal- ING LANDS CONSERVATION PRO- PROJECTS FROM CERTAIN RENTAL endar days after the submission or publica- GRAMS. FEES. tion date as provided in section 12303(b)(2). (a) CONSERVATION STEWARDSHIP PRO- Section 504(g) of the Federal Land Policy The report of the Comptroller General shall GRAM.—Subchapter B of chapter 2 of subtitle and Management Act of 1976 (43 U.S.C. include an assessment of the agency’s com- D of title XII of the Food Security Act of 1764(g)) is amended in the eighth sentence by pliance with procedural steps required by 1985 (16 U.S.C. 3838d et seq.) is repealed. inserting ‘‘and for any rural water project paragraph (1)(B). (b) ENVIRONMENTAL QUALITY INCENTIVES that is federally financed (including a (B) Federal agencies shall cooperate with PROGRAM.—Chapter 4 of subtitle D of title project that receives Federal funds under the the Comptroller General by providing infor- XII of the Food Security Act of 1985 (16 Consolidated Farm and Rural Development mation relevant to the Comptroller Gen- U.S.C. 3839aa et seq.) is repealed. Act (7 U.S.C. 1921 et seq.) or from a State eral’s report under subparagraph (A). drinking water treatment revolving loan (3) A major rule relating to a report sub- SA 2354. Mr. KYL submitted an fund established under section 1452 of the mitted under paragraph (1) shall take effect amendment intended to be proposed by Safe Drinking Water Act (42 U.S.C. 300j–12))’’ upon enactment of a joint resolution of ap- him to the bill S. 3240, to reauthorize after ‘‘such facilities’’. proval described in section 12303 or as pro- agricultural programs through 2017, vided for in the rule following enactment of SA 2357. Mr. BOOZMAN submitted an a joint resolution of approval described in and for other purposes; which was or- amendment intended to be proposed by section 12303, whichever is later. dered to lie on the table; as follows: him to the bill S. 3240, to reauthorize (4) A nonmajor rule shall take effect as At the end of subtitle A of title III, add the agricultural programs through 2017, provided by section 12304 after submission to following: and for other purposes; which was or- Congress under paragraph (1). SEC. 3015. PROHIBITION ON ASSISTANCE FOR dered to lie on the table; as follows: (5) If a joint resolution of approval relating to a major rule is not enacted within the pe- NORTH KOREA. At the end of title XII, add the following: No amounts may be obligated or expended riod provided in subsection (b)(2), then a Subtitle D—Congressional Review of Agency to provide assistance under title II of the joint resolution of approval relating to the Rulemaking in Cases of Negative Effect on Food for Peace Act (7 U.S.C. 1721 et seq.) to same rule may not be considered under this Access to Affordable Food the Democratic People’s Republic of Korea. subtitle in the same Congress by either the SEC. 12301. CONGRESSIONAL REVIEW OF AGENCY House of Representatives or the Senate. Mr. BOOZMAN submitted an RULEMAKING IN CASES OF NEGA- (b)(1) A major rule shall not take effect un- SA 2355. TIVE EFFECT ON ACCESS TO AF- less the Congress enacts a joint resolution of amendment intended to be proposed by FORDABLE FOOD. approval described under section 12303. him to the bill S. 3240, to reauthorize Effective beginning on the date of enact- (2) If a joint resolution described in sub- agricultural programs through 2017, ment of this Act, if the Secretary determines section (a) is not enacted into law by the end and for other purposes; which was or- that a rule promulgated by any Federal of 70 session days or legislative days, as ap- dered to lie on the table; as follows: agency could have a negative effect on ac- plicable, beginning on the date on which the cess by any individual to affordable food, the report referred to in subsection (a)(1)(A) is On page 860, between lines 15 and 16, insert procedures described in this subtitle shall received by Congress (excluding days either the following: take effect. House of Congress is adjourned for more than SEC. 7602. OBJECTIVE AND SCHOLARLY AGRI- SEC. 12302. CONGRESSIONAL REVIEW. 3 days during a session of Congress), then the CULTURAL AND FOOD LAW RE- (a)(1)(A) Before a rule may take effect, the rule described in that resolution shall be SEARCH AND INFORMATION. Federal agency promulgating such rule shall deemed not to be approved and such rule (a) FINDINGS.—Congress finds that— submit to each House of the Congress and to shall not take effect. (1) the farms, ranches, and forests of the the Comptroller General a report con- (c)(1) Notwithstanding any other provision United States are impacted by a complex and taining— of this section (except subject to paragraph rapidly evolving web of international, Fed- (i) a copy of the rule; (3)), a major rule may take effect for one 90- eral, State, and local laws (including regula- (ii) a concise general statement relating to calendar-day period if the President makes a tions); the rule; determination under paragraph (2) and sub- (2) objective, scholarly, and authoritative (iii) a classification of the rule as a major mits written notice of such determination to agricultural and food law research and infor- or nonmajor rule, including an explanation the Congress. mation helps the farm, ranch, and forestry of the classification specifically addressing (2) Paragraph (1) applies to a determina- community contribute to the strength of the each criteria for a major rule contained tion made by the President by Executive United States through improved conserva- within subparagraphs (A) through (C) of sec- order that the major rule should take effect tion, environmental protection, job creation, tion 12305(2); because such rule is— economic development, renewable energy (iv) a list of any other related regulatory (A) necessary because of an imminent production, outdoor recreational opportuni- actions intended to implement the same threat to health or safety or other emer- ties, and increased local and regional sup- statutory provision or regulatory objective gency; plies of food, fiber, and fuel; and as well as the individual and aggregate eco- (B) necessary for the enforcement of crimi- (3) the vast agricultural community of the nomic effects of those actions; and nal laws; United States, including farmers, ranchers, (v) the proposed effective date of the rule. (C) necessary for national security; or foresters, attorneys, policymakers, and ex- (B) On the date of the submission of the re- (D) issued pursuant to any statute imple- tension personnel, need access to agricul- port under subparagraph (A), the Federal menting an international trade agreement. tural and food law research and information agency promulgating the rule shall submit (3) An exercise by the President of the au- provided by an objective, scholarly, and neu- to the Comptroller General and make avail- thority under this subsection shall have no tral source. able to each House of Congress— effect on the procedures under section 12303. (b) PARTNERSHIPS.—The Secretary, acting (i) a complete copy of the cost-benefit (d)(1) In addition to the opportunity for re- through the National Agricultural Library, analysis of the rule, if any, including an view otherwise provided under this subtitle, shall support the dissemination of objective, analysis of any jobs added or lost, differen- in the case of any rule for which a report was scholarly, and authoritative agricultural and tiating between public and private sector submitted in accordance with subsection food law research and information by enter- jobs; (a)(1)(A) during the period beginning on the ing into partnerships with institutions of (ii) the agency’s actions pursuant to sec- date occurring— higher education that have expertise in agri- tions 603, 604, 605, 607, and 609 of title 5, (A) in the case of the Senate, 60 session cultural and food law research and informa- United States Code; days, or tion. (iii) the agency’s actions pursuant to sec- (B) in the case of the House of Representa- (c) RESTRICTION.—For each fiscal year, the tions 202, 203, 204, and 205 of the Unfunded tives, 60 legislative days, Secretary shall use not more than $1,000,000 Mandates Reform Act of 1995; and before the date the Congress is scheduled to of the amounts made available to the Na- (iv) any other relevant information or re- adjourn a session of Congress through the tional Agricultural Library to carry out this quirements under any other Act and any rel- date on which the same or succeeding Con- section. evant Executive orders. gress first convenes its next session, sections (C) Upon receipt of a report submitted 12303 and 12304 shall apply to such rule in the SA 2356. Mr. BOOZMAN submitted an under subparagraph (A), each House shall succeeding session of Congress. amendment intended to be proposed by provide copies of the report to the chairman (2)(A) In applying sections 12303 and 12304 him to the bill S. 3240, to reauthorize and ranking member of each standing com- for purposes of such additional review, a rule agricultural programs through 2017, mittee with jurisdiction under the rules of described under paragraph (1) shall be treat- ed as though— and for other purposes; which was or- the House of Representatives or the Senate to report a bill to amend the provision of law (i) such rule were published in the Federal dered to lie on the table; as follows: under which the rule is issued. Register on— On page 1009, after line 11, add the fol- (2)(A) The Comptroller General shall pro- (I) in the case of the Senate, the 15th ses- lowing: vide a report on each major rule to the com- sion day, or

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00057 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.042 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3988 CONGRESSIONAL RECORD — SENATE June 12, 2012 (II) in the case of the House of Representa- (2) In the Senate, debate on the joint reso- rules (so far as they relate to the procedure tives, the 15th legislative day, lution, and on all debatable motions and ap- of that House) at any time, in the same man- after the succeeding session of Congress first peals in connection therewith, shall be lim- ner and to the same extent as in the case of convenes; and ited to not more than 2 hours, which shall be any other rule of that House. (ii) a report on such rule were submitted to divided equally between those favoring and SEC. 12304. CONGRESSIONAL DISAPPROVAL PRO- Congress under subsection (a)(1) on such those opposing the joint resolution. A mo- CEDURE FOR NONMAJOR RULES. date. tion to further limit debate is in order and (a) For purposes of this section, the term (B) Nothing in this paragraph shall be con- not debatable. An amendment to, or a mo- ‘‘joint resolution’’ means only a joint resolu- strued to affect the requirement under sub- tion to postpone, or a motion to proceed to tion introduced in the period beginning on section (a)(1) that a report shall be sub- the consideration of other business, or a mo- the date on which the report referred to in mitted to Congress before a rule can take ef- tion to recommit the joint resolution is not section 12302(a)(1)(A) is received by Congress fect. in order. and ending 60 days thereafter (excluding (3) A rule described under paragraph (1) (3) In the Senate, immediately following days either House of Congress is adjourned shall take effect as otherwise provided by the conclusion of the debate on a joint reso- for more than 3 days during a session of Con- law (including other subsections of this sec- lution described in subsection (a), and a sin- gress), the matter after the resolving clause tion). gle quorum call at the conclusion of the de- of which is as follows: ‘‘That Congress dis- SEC. 12303. CONGRESSIONAL APPROVAL PROCE- bate if requested in accordance with the approves the nonmajor rule submitted by the DURE FOR MAJOR RULES. rules of the Senate, the vote on final passage lll relating to lll, and such rule shall (a)(1) For purposes of this section, the term of the joint resolution shall occur. have no force or effect.’’ (The blank spaces ‘‘joint resolution’’ means only a joint resolu- (4) Appeals from the decisions of the Chair being appropriately filled in). tion addressing a report classifying a rule as relating to the application of the rules of the (b)(1) A joint resolution described in sub- major pursuant to section 12302(a)(1)(A)(iii) Senate to the procedure relating to a joint section (a) shall be referred to the commit- that— resolution described in subsection (a) shall tees in each House of Congress with jurisdic- (A) bears no preamble; be decided without debate. tion. (B) bears the following title (with blanks (e) In the House of Representatives, if any (2) For purposes of this section, the term filled as appropriate): ‘‘Approving the rule committee to which a joint resolution de- submission or publication date means the submitted by lll relating to lll.’’; scribed in subsection (a) has been referred later of the date on which— (C) includes after its resolving clause only has not reported it to the House at the end (A) the Congress receives the report sub- the following (with blanks filled as appro- of 15 legislative days after its introduction, mitted under section 12302(a)(1); or priate): ‘‘That Congress approves the rule such committee shall be discharged from fur- (B) the nonmajor rule is published in the submitted by lll relating to lll.’’; and ther consideration of the joint resolution, Federal Register, if so published. (D) is introduced pursuant to paragraph and it shall be placed on the appropriate cal- (c) In the Senate, if the committee to (2). endar. On the second and fourth Thursdays which is referred a joint resolution described (2) After a House of Congress receives a re- of each month it shall be in order at any in subsection (a) has not reported such joint port classifying a rule as major pursuant to time for the Speaker to recognize a Member resolution (or an identical joint resolution) section 12302(a)(1)(A)(iii), the majority leader who favors passage of a joint resolution that at the end of 15 session days after the date of of that House (or his or her respective des- has appeared on the calendar for at least 5 introduction of the joint resolution, such ignee) shall introduce (by request, if appro- legislative days to call up that joint resolu- committee may be discharged from further priate) a joint resolution described in para- tion for immediate consideration in the consideration of such joint resolution upon a graph (1)— House without intervention of any point of petition supported in writing by 30 Members (A) in the case of the House of Representa- order. When so called up a joint resolution of the Senate, and such joint resolution shall tives, within three legislative days; and shall be considered as read and shall be de- be placed on the calendar. (B) in the case of the Senate, within three batable for 1 hour equally divided and con- (d)(1) In the Senate, when the committee session days. trolled by the proponent and an opponent, to which a joint resolution is referred has re- (3) A joint resolution described in para- ported, or when a committee is discharged graph (1) shall not be subject to amendment and the previous question shall be considered (under subsection (c)) from further consider- at any stage of proceeding. as ordered to its passage without intervening (b) A joint resolution described in sub- motion. It shall not be in order to reconsider ation of a joint resolution described in sub- section (a) shall be referred in each House of the vote on passage. If a vote on final pas- section (a), it is at any time thereafter in Congress to the committees having jurisdic- sage of the joint resolution has not been order (even though a previous motion to the tion over the provision of law under which taken by the third Thursday on which the same effect has been disagreed to) for a mo- the rule is issued. Speaker may recognize a Member under this tion to proceed to the consideration of the (c) In the Senate, if the committee or com- subsection, such vote shall be taken on that joint resolution, and all points of order mittees to which a joint resolution described day. against the joint resolution (and against in subsection (a) has been referred have not (f)(1) If, before passing a joint resolution consideration of the joint resolution) are reported it at the end of 15 session days after described in subsection (a), one House re- waived. The motion is not subject to amend- its introduction, such committee or commit- ceives from the other a joint resolution hav- ment, or to a motion to postpone, or to a tees shall be automatically discharged from ing the same text, then— motion to proceed to the consideration of further consideration of the resolution and it (A) the joint resolution of the other House other business. A motion to reconsider the shall be placed on the calendar. A vote on shall not be referred to a committee; and vote by which the motion is agreed to or dis- final passage of the resolution shall be taken (B) the procedure in the receiving House agreed to shall not be in order. If a motion on or before the close of the 15th session day shall be the same as if no joint resolution to proceed to the consideration of the joint after the resolution is reported by the com- had been received from the other House until resolution is agreed to, the joint resolution mittee or committees to which it was re- the vote on passage, when the joint resolu- shall remain the unfinished business of the ferred, or after such committee or commit- tion received from the other House shall sup- Senate until disposed of. tees have been discharged from further con- plant the joint resolution of the receiving (2) In the Senate, debate on the joint reso- sideration of the resolution. House. lution, and on all debatable motions and ap- (d)(1) In the Senate, when the committee (2) This subsection shall not apply to the peals in connection therewith, shall be lim- or committees to which a joint resolution is House of Representatives if the joint resolu- ited to not more than 10 hours, which shall referred have reported, or when a committee tion received from the Senate is a revenue be divided equally between those favoring or committees are discharged (under sub- measure. and those opposing the joint resolution. A section (c)) from further consideration of a (g) If either House has not taken a vote on motion to further limit debate is in order joint resolution described in subsection (a), final passage of the joint resolution by the and not debatable. An amendment to, or a it is at any time thereafter in order (even last day of the period described in section motion to postpone, or a motion to proceed though a previous motion to the same effect 12302(b)(2), then such vote shall be taken on to the consideration of other business, or a has been disagreed to) for a motion to pro- that day. motion to recommit the joint resolution is ceed to the consideration of the joint resolu- (h) This section and section 12304 are en- not in order. tion, and all points of order against the joint acted by Congress— (3) In the Senate, immediately following resolution (and against consideration of the (1) as an exercise of the rulemaking power the conclusion of the debate on a joint reso- joint resolution) are waived. The motion is of the Senate and House of Representatives, lution described in subsection (a), and a sin- not subject to amendment, or to a motion to respectively, and as such is deemed to be gle quorum call at the conclusion of the de- postpone, or to a motion to proceed to the part of the rules of each House, respectively, bate if requested in accordance with the consideration of other business. A motion to but applicable only with respect to the pro- rules of the Senate, the vote on final passage reconsider the vote by which the motion is cedure to be followed in that House in the of the joint resolution shall occur. agreed to or disagreed to shall not be in case of a joint resolution described in sub- (4) Appeals from the decisions of the Chair order. If a motion to proceed to the consider- section (a) and superseding other rules only relating to the application of the rules of the ation of the joint resolution is agreed to, the where explicitly so; and Senate to the procedure relating to a joint joint resolution shall remain the unfinished (2) with full recognition of the Constitu- resolution described in subsection (a) shall business of the Senate until disposed of. tional right of either House to change the be decided without debate.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00058 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.044 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3989 (e) In the Senate the procedure specified in before the court in any judicial proceeding (1) The founders realized the fundamental subsection (c) or (d) shall not apply to the concerning a rule except for purposes of de- importance of property rights when they consideration of a joint resolution respecting termining whether or not the rule is in ef- codified the Takings Clause of the Fifth a nonmajor rule— fect. Amendment to the Constitution, which re- (1) after the expiration of the 60 session SEC. 12307. EXEMPTION FOR MONETARY POLICY. quires that private property shall not be days beginning with the applicable submis- Nothing in this subtitle shall apply to taken ‘for public use, without just compensa- sion or publication date, or rules that concern monetary policy proposed tion. (2) if the report under section 12302(a)(1)(A) or implemented by the Board of Governors of (2) Rural lands are unique in that they are was submitted during the period referred to the Federal Reserve System or the Federal not traditionally considered high tax rev- in section 12302(d)(1), after the expiration of Open Market Committee. enue-generating properties for State and the 60 session days beginning on the 15th ses- SEC. 12308. EFFECTIVE DATE OF CERTAIN RULES. local governments. In addition, farm, ranch, sion day after the succeeding session of Con- Notwithstanding section 12302— and forest land owners need to have long- gress first convenes. (1) any rule that establishes, modifies, term certainty regarding their property (f) If, before the passage by one House of a opens, closes, or conducts a regulatory pro- rights in order to make the investment deci- joint resolution of that House described in gram for a commercial, recreational, or sub- sions to commit land to these uses. subsection (a), that House receives from the sistence activity related to hunting, fishing, (3) Ownership rights in rural land are fun- other House a joint resolution described in or camping; or damental building blocks for our Nation’s subsection (a), then the following procedures (2) any rule other than a major rule which agriculture industry, which continues to be shall apply: an agency for good cause finds (and incor- one of the most important economic sectors (1) The joint resolution of the other House porates the finding and a brief statement of of our economy. shall not be referred to a committee. reasons therefore in the rule issued) that no- (4) In the wake of the Supreme Court’s de- (2) With respect to a joint resolution de- tice and public procedure thereon are im- cision in Kelo v. City of New London, abuse scribed in subsection (a) of the House receiv- practicable, unnecessary, or contrary to the of eminent domain is a threat to the prop- ing the joint resolution— public interest, erty rights of all private property owners, in- (A) the procedure in that House shall be shall take effect at such time as the Federal cluding rural land owners. the same as if no joint resolution had been agency promulgating the rule determines. (b) SENSE OF CONGRESS.—It is the sense of Congress that the use of eminent domain for received from the other House; but Mr. BOOZMAN submitted an (B) the vote on final passage shall be on SA 2358. the purpose of economic development is a the joint resolution of the other House. amendment intended to be proposed by threat to agricultural and other property in SEC. 12305. DEFINITIONS. him to the bill S. 3240, to reauthorize rural America and that the Congress should In this subtitle: agricultural programs through 2017, protect the property rights of Americans, in- (1) The term ‘‘Federal agency’’ means any and for other purposes; which was or- cluding those who reside in rural areas. agency as that term is defined in section dered to lie on the table; as follows: Property rights are central to liberty in this 551(1) of title 5, United States Code. On page 1009, after line 11, add the fol- country and to our economy. The use of emi- (2) The term ‘‘major rule’’ means any rule, lowing: nent domain to take farmland and other rural property for economic development including an interim final rule, that the Ad- SEC. 12207. ATTORNEY FEE PAYMENT TRACKING. threatens liberty, rural economies, and the ministrator of the Office of Information and (a) IN GENERAL.—Not later than 180 days Regulatory Affairs of the Office of Manage- after the date of enactment of this Act, the economy of the United States. The taking of ment and Budget finds has resulted in or is Secretary shall— farmland and rural property will have a di- likely to result in— (1) in cooperation with the Attorney Gen- rect impact on existing irrigation and rec- (A) an annual effect on the economy of eral and the Secretary of Treasury, develop a lamation projects. Furthermore, the use of $100,000,000 or more; system to track and report attorney fee pay- eminent domain to take rural private prop- erty for private commercial uses will force (B) a major increase in costs or prices for ment information in accordance with sub- increasing numbers of activities from pri- consumers, individual industries, Federal, sections (b) and (c); and vate property onto this Nation’s public State, or local government agencies, or geo- (2) submit to the Committee on Agri- lands, including its National forests, Na- graphic regions; or culture and the Committee on the Judiciary tional parks and wildlife refuges. This in- (C) significant adverse effects on competi- of the House of Representatives and the crease can overburden the infrastructure of tion, employment, investment, productivity, Committee on Agriculture, Nutrition, and these lands, reducing the enjoyment of such innovation, or on the ability of United Forestry and the Committee on the Judici- lands for all citizens. Americans should not States-based enterprises to compete with ary of the Senate a report describing the sta- have to fear the government’s taking their foreign-based enterprises in domestic and ex- tus of the implementation of the system. (b) REQUIREMENTS.—The system described homes, farms, or businesses to give to other port markets. persons. Governments should not abuse the (3) The term ‘‘nonmajor rule’’ means any in subsection (a)(1) shall track for each case or administrative adjudication in which the power of eminent domain to force rural prop- rule that is not a major rule. erty owners from their land in order to de- (4) The term ‘‘rule’’ has the meaning given Secretary or Department of Agriculture is a party— velop rural land into industrial and commer- such term in section 551 of title 5, United cial property. Congress has a duty to protect States Code, except that such term does not (1) the case name; (2) the party name; the property rights of rural Americans in the include— face of eminent domain abuse. (A) any rule of particular applicability, in- (3) the amount of the claim; (4) the date and amount of the award or SEC. l03. PROHIBITION ON EMINENT DOMAIN cluding a rule that approves or prescribes for ABUSE BY STATES TO CONFISCATE the future rates, wages, prices, services, or payment of attorney fees; and (5) the law (including regulations) under FARM, RANCH, OR FOREST LAND. allowances therefore, corporate or financial which the case was brought. (a) IN GENERAL.—No State or political sub- structures, reorganizations, mergers, or ac- (c) ANNUAL REPORTS.—Each year, the Sec- division of a State shall exercise its power of quisitions thereof, or accounting practices or retary shall submit to the Committees de- eminent domain over farm, ranch, or forest disclosures bearing on any of the foregoing; scribed in subsection (a)(2) a report con- land, or allow the exercise of such power by (B) any rule relating to agency manage- taining the information described in sub- any person or entity to which such power has ment or personnel; or section (b). been delegated, over property to be used for (C) any rule of agency organization, proce- economic development or over property that dure, or practice that does not substantially SA 2359. Mr. BOOZMAN submitted an is used for economic development within 7 affect the rights or obligations of non-agency amendment intended to be proposed by years after that exercise, if that State or po- parties. him to the bill S. 3240, to reauthorize litical subdivision receives Federal economic SEC. 12306. JUDICIAL REVIEW. agricultural programs through 2017, development funds during any fiscal year in (a) No determination, finding, action, or and for other purposes; which was or- which the property is so used or intended to omission under this subtitle shall be subject dered to lie on the table; as follows: be used. to judicial review. (b) INELIGIBILITY FOR FEDERAL FUNDS.—A (b) Notwithstanding subsection (a), a court At the appropriate place, insert the fol- violation of subsection (a) by a State or po- may determine whether a Federal agency lowing: litical subdivision shall render such State or has completed the necessary requirements TITLE ll—FARM, RANCH, AND FOREST political subdivision ineligible for any Fed- under this subtitle for a rule to take effect. LAND PRIVATE PROPERTY PROTECTION eral economic development funds for a pe- (c) The enactment of a joint resolution of ACT riod of 2 fiscal years following a final judg- approval under section 12303 shall not be in- SEC. l01. SHORT TITLE. ment on the merits by a court of competent terpreted to serve as a grant or modification This title may be cited as the ‘‘Farm, jurisdiction that such subsection has been of statutory authority by Congress for the Ranch, and Forest Land Private Property violated, and any Federal agency charged promulgation of a rule, shall not extinguish Protection Act’’. with distributing those funds shall withhold or affect any claim, whether substantive or SEC. l02. FINDINGS. them for such 2-year period, and any such procedural, against any alleged defect in a (a) FINDINGS.—Congress finds the fol- funds distributed to such State or political rule, and shall not form part of the record lowing: subdivision shall be returned or reimbursed

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00059 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.044 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3990 CONGRESSIONAL RECORD — SENATE June 12, 2012 by such State or political subdivision to the the Secretary of Agriculture, the Attorney essary. Such list and any successive revi- appropriate Federal agency or authority of General shall conduct an investigation, in sions of such list shall be communicated by the Federal Government, or component cooperation with the Secretary of Agri- the Attorney General to the chief executive thereof. culture, to determine whether a violation ex- officer of each State and also made available (c) OPPORTUNITY TO CURE VIOLATION.—A ists. on the Internet website maintained by the State or political subdivision shall not be in- (c) NOTIFICATION OF VIOLATION.—If the At- United States Department of Justice for use eligible for any Federal economic develop- torney General concludes that a violation by the public and by the authorities in each ment funds under subsection (b) if such State does exist, then the Attorney General shall State and political subdivisions of each or political subdivision returns all real prop- notify the Federal Government, authority of State empowered to take private property erty the taking of which was found by a the Federal Government, State, or political and convert it to public use subject to just court of competent jurisdiction to have con- subdivision of a State that the Attorney compensation for the taking. stituted a violation of subsection (a) and re- General has determined that it is in viola- (b) NOTIFICATION TO PROPERTY OWNERS AND places any other property destroyed and re- tion of the title. The notification shall fur- TENANTS.—Not later than 30 days after the pairs any other property damaged as a result ther provide that the Federal Government, enactment of this title, the Attorney Gen- of such violation. In addition, the State State, or political subdivision of a State has eral shall publish in the Federal Register and must pay applicable penalties and interest to 90 days from the date of the notification to make available on the Internet website reattain eligibility. demonstrate to the Attorney General either maintained by the United States Depart- SEC. l04. PROHIBITION ON EMINENT DOMAIN that (1) it is not in violation of the title or ment of Justice a notice containing the text ABUSE BY THE FEDERAL GOVERN- (2) that it has cured its violation by return- of this title and a description of the rights of MENT TO CONFISCATE FARM, ing all real property the taking of which the property owners and tenants under this title. RANCH, OR FOREST LAND. Attorney General finds to have constituted a SEC. l08. NOTIFICATION BY SECRETARY OF AG- The Federal Government or any authority violation of the title and replacing any other RICULTURE. of the Federal Government shall not exercise property destroyed and repairing any other (a) NOTIFICATION TO PROPERTY OWNERS AND its power of eminent domain over farm, property damaged as a result of such viola- TENANTS.—Not later than 60 days after the ranch, or forest land to be used for economic tion. enactment of this title, the Secretary of Ag- (d) ATTORNEY GENERAL’S BRINGING OF AC- development. riculture shall publish in the Federal Reg- TION TO ENFORCE TITLE.—If, at the end of the SEC. l05. PRIVATE RIGHT OF ACTION. ister and make available on the Internet 90-day period described in subsection (c), the (a) CAUSE OF ACTION.—Any (1) owner of pri- website maintained by the United States De- Attorney General determines that the Fed- vate farm, ranch, or forest land whose prop- partment of Agriculture a notice containing eral Government, authority of the Federal erty is subject to eminent domain who suf- the text of this title and a description of the Government, State, or political subdivision fers injury as a result of a violation of any rights of property owners and tenants under of a State is still violating the title or has provision of this title with respect to that this title. property, or (2) any tenant of property that not cured its violation as described in sub- SEC. l09. REPORTS. is subject to eminent domain who suffers in- section (c), then the Attorney General will bring an action to enforce the title unless (a) BY ATTORNEY GENERAL.—Not later than jury as a result of a violation of any provi- 1 year after the date of enactment of this sion of this title with respect to that prop- the property owner or tenant who reported the violation has already brought an action title, and every subsequent year thereafter, erty, may bring an action to enforce any pro- the Attorney General shall transmit a report vision of this title in the appropriate Federal to enforce the title. In such a case, the At- torney General shall intervene if it deter- identifying States or political subdivisions or State court. A State shall not be immune that have used eminent domain in violation under the 11th Amendment to the Constitu- mines that intervention is necessary in order to enforce the title. The Attorney General of this title to the Chairman and Ranking tion of the United States from any such ac- Member of the Committee on the Judiciary tion in a Federal or State court of competent may file its lawsuit to enforce the title in the appropriate Federal or State court. A of the House of Representatives, to the jurisdiction. In such action, the defendant Chairman and Ranking Member of the Com- has the burden to show by clear and con- State shall not be immune under the 11th Amendment to the Constitution of the mittee on the Judiciary of the Senate, to the vincing evidence that the taking is not for Chairman and Ranking Member of the Com- economic development. Any such property United States from any such action in a Fed- eral or State court of competent jurisdic- mittee on Agriculture, Nutrition, and For- owner or tenant may also seek an appro- estry of the Senate, and to the Chairman and priate relief through a preliminary injunc- tion. In such action, the defendant has the burden to show by clear and convincing evi- Ranking Member of the Committee of Agri- tion or a temporary restraining order. culture of the House. The report shall— (b) LIMITATION ON BRINGING ACTION.—An dence that the taking is not for economic de- (1) be developed in cooperation with the action brought by a property owner or ten- velopment. The Attorney General may seek Secretary of Agriculture; ant under this title may be brought if the any appropriate relief through a preliminary (2) identify all private rights of action property is used for economic development injunction or a temporary restraining order. brought as a result of a State’s or political following the conclusion of any condemna- (e) LIMITATION ON BRINGING ACTION.—An subdivision’s violation of this title; tion proceedings condemning the property of action brought by the Attorney General (3) identify all violations reported by prop- such property owner or tenant, but shall not under this title may be brought if the prop- erty owners and tenants under section 5(c) of be brought later than seven years following erty is used for economic development fol- this title; the conclusion of any such proceedings. lowing the conclusion of any condemnation (4) identify the percentage of minority (c) ATTORNEYS’ FEE AND OTHER COSTS.—In proceedings condemning the property of an any action or proceeding under this title, the owner or tenant who reports a violation of residents compared to the surrounding non- court shall allow a prevailing plaintiff a rea- the title to the Attorney General, but shall minority residents and the median incomes sonable attorneys’ fee as part of the costs, not be brought later than seven years fol- of those impacted by a violation of this title; and include expert fees as part of the attor- lowing the conclusion of any such pro- (5) identify all lawsuits brought by the At- neys’ fee. ceedings. torney General under section 5(d) of this title; SEC. l06. REPORTING OF VIOLATIONS TO ATTOR- (f) ATTORNEYS’ FEE AND OTHER COSTS.—In NEY GENERAL OR THE SECRETARY any action or proceeding under this title (6) identify all States or political subdivi- OF AGRICULTURE. brought by the Attorney General, the court sions that have lost Federal economic devel- (a) SUBMISSION OF REPORT TO ATTORNEY shall, if the Attorney General is a prevailing opment funds as a result of a violation of GENERAL.—Any (1) owner of private farm, plaintiff, award the Attorney General a rea- this title, as well as describe the type and ranch, or forest land whose property is sub- sonable attorneys’ fee as part of the costs, amount of Federal economic development ject to eminent domain who suffers injury as and include expert fees as part of the attor- funds lost in each State or political subdivi- a result of a violation of any provision of neys’ fee. sion and the Agency that is responsible for this title with respect to that property, or (2) SEC. l07. NOTIFICATION BY ATTORNEY GEN- withholding such funds; and any tenant of farm, ranch, or forest land ERAL. (7) discuss all instances in which a State or that is subject to eminent domain who suf- (a) NOTIFICATION TO STATES AND POLITICAL political subdivision has cured a violation as fers injury as a result of a violation of any SUBDIVISIONS.— described in section 2(c) of this title. provision of this title with respect to that (1) Not later than 30 days after the enact- (b) DUTY OF STATES.—Each State and local property, may report a violation by the Fed- ment of this title, the Attorney General authority that is subject to a private right of eral Government, any authority of the Fed- shall provide to the chief executive officer of action under this title shall have the duty to eral Government, State, or political subdivi- each State the text of this title and a de- report to the Attorney General such infor- sion of a State to the Attorney General or scription of the rights of property owners mation with respect to such State and local the Secretary of Agriculture. and tenants under this title. authorities as the Attorney General needs to (b) INVESTIGATION BY ATTORNEY GENERAL.— (2) Not later than 120 days after the enact- make the report required under subsection Upon receiving a report of an alleged viola- ment of this title, the Attorney General (a). tion, the Secretary of Agriculture shall shall compile a list of the Federal laws under SEC. l10. DEFINITIONS. transmit the report to the Attorney General. which Federal economic development funds In this title the following definitions Upon receiving a report of an alleged viola- are distributed. The Attorney General shall apply: tion from either a property owner, tenant, or compile annual revisions of such list as nec- (1) ECONOMIC DEVELOPMENT.—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00060 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.041 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3991 (A) The term ‘‘economic development’’ SEC. l13. BROAD CONSTRUCTION. inserting ‘‘2014 through 2017, the total means taking private property, without the This title shall be construed in favor of a amount of commodities under’’; and consent of the owner, and conveying or leas- broad protection of private property rights, (ii) by striking ‘‘2008’’ and inserting ‘‘2012’’. ing such property from one private person or to the maximum extent permitted by the entity to another private person or entity terms of this title and the Constitution. SA 2361. Mr. BOOZMAN submitted an for commercial enterprise carried on for SEC. l14. LIMITATION ON STATUTORY CON- amendment intended to be proposed by profit, or to increase tax revenue, tax base, STRUCTION. him to the bill S. 3240, to reauthorize employment, or general economic health, ex- Nothing in this title may be construed to agricultural programs through 2017, cept that such term shall not include— supersede, limit, or otherwise affect any pro- vision of the Uniform Relocation Assistance and for other purposes; which was or- (i) conveying private property— dered to lie on the table; as follows: (I) to public ownership, such as for a road, and Real Property Acquisition Policies Act hospital, airport, or military base; of 1970 (42 U.S.C. 4601 et seq.). On page 652, between lines 3 and 4, insert (II) to an entity, such as a common carrier, SEC. l15. REPORT BY FEDERAL AGENCIES ON the following: that makes the property available to the REGULATIONS AND PROCEDURES ‘‘(c) BLENDER PUMPS.—None of funds made general public as of right, such as a railroad RELATING TO EMINENT DOMAIN. available for rural economic area partner- or public facility; Not later than 180 days after the date of ship zones may be used to promote the con- (III) for use as a road or other right of way the enactment of this title, the head of each struction or use of blender pumps. Executive department and agency shall re- or means, open to the public for transpor- SA 2362. Mr. BROWN of Ohio (for tation, whether free or by toll; and view all rules, regulations, and procedures (IV) for use as an aqueduct, flood control and report to the Attorney General on the himself, Mr. NELSON of Nebraska, Mr. facility, pipeline, or similar use; activities of that department or agency to FRANKEN, Mr. SANDERS, Mr. BINGAMAN, (ii) removing harmful uses of land provided bring its rules, regulations and procedures Mr. JOHNSON of South Dakota, Mr. such uses constitute an immediate threat to into compliance with this title. HARKIN, Mr. LEAHY, Mr. TESTER, Mr. SEC. l16. DISPROPORTIONATE IMPACT ON MI- public health and safety; MERKLEY, and Mr. KERRY) submitted NORITIES. (iii) leasing property to a private person or If the court determines that a violation of an amendment intended to be proposed entity that occupies an incidental part of this title has occurred, and that the viola- by him to the bill S. 3240, to reauthor- public property or a public facility, such as tion has a disproportionately high impact on ize agricultural programs through 2017, a retail establishment on the ground floor of the poor or minorities, the Attorney General a public building; and for other purposes; which was or- shall use reasonable efforts to locate and in- (iv) acquiring abandoned property; dered to lie on the table; as follows: form former owners and tenants of the viola- (v) clearing defective chains of title; On page 574, between lines 11 and 12, insert tion and any remedies they may have. (vi) taking private property for use by a the following: public utility, including a utility providing SA 2360. Mr. BOOZMAN (for himself ‘‘(C) MANDATORY FUNDING.—Of the funds of electric, natural gas, telecommunications, the Commodity Credit Corporation, the Sec- and Mr. JOHANNS) submitted an amend- water, and wastewater services, either di- retary shall use to carry out this subsection rectly to the public or indirectly through ment intended to be proposed by him $10,000,000 for each of fiscal years 2013 provision of such services at the wholesale to the bill S. 3240, to reauthorize agri- through 2017, to remain available until ex- level for resale to the public; and cultural programs through 2017, and for pended. (vii) redeveloping of a brownfield site as other purposes; which was ordered to On page 606, between lines 4 and 5, insert defined in the Small Business Liability Re- lie on the table; as follows: the following: ‘‘(E) MANDATORY FUNDING FOR FISCAL lief and Brownfields Revitalization Act (42 Strike subsection (a) of section 4012 and, at YEARS 2013 THROUGH 2017.—Of the funds of the U.S.C. 9601(39)). the appropriate place in title IV, insert the Commodity Credit Corporation, the Sec- (B) ABANDONED PROPERTY.—In subpara- following: graph (A)(iv), the term ‘‘abandoned prop- retary shall use to carry out this paragraph SEC. 4lll. QUALITY CONTROL BONUSES. $4,000,000 for each of fiscal years 2013 through erty’’ means property — (a) IN GENERAL.—Section 16 of the Food 2017, to remain available until expended. (i) that has been substantially unoccupied and Nutrition Act of 2008 (7 U.S.C. 2025) is or unused for any commercial, agricultural, On page 782, strike line 14 and insert the amended by striking subsection (d). following: residential, or conservation-oriented purpose (b) CONFORMING AMENDMENTS.—Section 16 for at least 1 year by a person with a legal or of the Food and Nutrition Act of 2008 (7 through promulgation of an interim rule. equitable right to occupy the property; U.S.C. 2025) is amended— ‘‘(j) FUNDING.—Of the funds of the Com- (ii) that has not been maintained; and (1) in subsection (c)— modity Credit Corporation, the Secretary (iii) for which property taxes have not been (A) in the first sentence of paragraph (4), shall use to carry out this section $10,000,000 paid for at least 2 years. by striking ‘‘payment error rate’’ and all for each of fiscal years 2013 through 2017, to (2) FEDERAL ECONOMIC DEVELOPMENT that follows through ‘‘subsection (d)’’ and in- remain available until expended.’’. FUNDS.—The term ‘‘Federal economic devel- serting ‘‘liability amount or new investment SEC. 6203. FUNDING OF PENDING RURAL DEVEL- opment funds’’ means any Federal funds dis- amount under paragraph (1) or payment OPMENT LOAN AND GRANT APPLI- CATIONS. tributed to or through States or political error rate’’; and (a) IN GENERAL.—The Secretary shall use subdivisions of States under Federal laws de- (B) in the first sentence of paragraph (5), funds made available under subsection (b) to signed to improve or increase the size of the by striking ‘‘payment error rate’’ and all provide funds for applications that are pend- economies of States or political subdivisions that follows through ‘‘subsection (d)’’ and in- ing on the date of enactment of this Act in of States. serting ‘‘liability amount or new investment accordance with the terms and conditions of (3) STATE.—The term ‘‘State’’ means each amount under paragraph (1) or payment section 6029 of the Food, Conservation, and of the several States, the District of Colum- error rate’’; and Energy Act of 2008 (Public Law 110–246; 122 bia, the Commonwealth of Puerto Rico, or (2) in subsection (i)(1), by striking ‘‘sub- Stat. 1955). any other territory or possession of the section (d)(1)’’ and inserting ‘‘subsection United States. (b) FUNDING.—Notwithstanding any other (c)(2)’’. provision of law, of the funds of the Com- SEC. l11. SEVERABILITY AND EFFECTIVE DATE. SEC. 4lll. EMERGENCY FOOD ASSISTANCE. modity Credit Corporation, the Secretary (a) SEVERABILITY.—The provisions of this (a) PURCHASE OF COMMODITIES.—Section shall use to carry out this section title are severable. If any provision of this 27(a) of the Food and Nutrition Act of 2008 (7 $100,000,000, to remain available until ex- title, or any application thereof, is found un- U.S.C. 2036(a)) is amended— pended. constitutional, that finding shall not affect (1) in paragraph (1), by striking ‘‘2008 On page 832, line 6, strike ‘‘$50,000,000’’ and any provision or application of the title not through 2012’’ and inserting ‘‘2012 through insert ‘‘$100,000,000’’. so adjudicated. 2017’’; and On page 989, line 9, strike ‘‘$5,000,000’’ and (b) EFFECTIVE DATE.—This title shall take (2) in paragraph (2)— insert ‘‘$15,000,000’’. effect upon the first day of the first fiscal (A) by striking subparagraphs (A) and (B) year that begins after the date of the enact- and inserting the following: SA 2363. Mr. VITTER submitted an ment of this title, but shall not apply to any ‘‘(A) for fiscal year 2012, $260,000,000; amendment intended to be proposed by project for which condemnation proceedings ‘‘(B) for fiscal year 2013, the dollar amount him to the bill S. 3240, to reauthorize have been initiated prior to the date of en- of commodities specified in subparagraph (A) agricultural programs through 2017, actment. adjusted by the percentage by which the SEC. l12. SENSE OF CONGRESS. thrifty food plan has been adjusted under and for other purposes; which was or- It is the policy of the United States to en- section 3(u)(4) between June 30, 2011 and dered to lie on the table; as follows: courage, support, and promote the private June 30, 2012, and subsequently increased by On page 1009, after line 11, add the fol- ownership of property and to ensure that the $43,000,000; and’’; and lowing: constitutional and other legal rights of pri- (B) in subparagraph (C)— SEC. 12207. ANIMAL WELFARE. vate property owners are protected by the (i) by striking ‘‘2010 through 2012, the dol- Section 2(h) of the Animal Welfare Act (7 Federal Government. lar amount of commodities specified in’’ and U.S.C. 2132(h)) is amended by adding ‘‘an

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00061 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.041 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3992 CONGRESSIONAL RECORD — SENATE June 12, 2012 owner of a common, domesticated household intended to be proposed by him to the riculture of the House of Representatives pet who derives less than a substantial por- bill S. 3240, to reauthorize agricultural and the Committee on Agriculture, Nutri- tion of income from a nonprimary source (as programs through 2017, and for other tion, and Forestry of the Senate a report de- determined by the Secretary) for exhibiting scribing the efforts of the Secretary to accel- an animal that exclusively resides at the res- purposes; which was ordered to lie on erate compliance with the Executive Orders idence of the pet owner,’’ after ‘‘stores,’’. the table; as follows: described in paragraph (1). On page 980, between lines 12 and 13, insert (c) WEBSITE.— SA 2364. Mr. BINGAMAN (for himself the following: (1) IN GENERAL.—Not later than 1 year after and Mrs. HUTCHISON) submitted an SEC. 11024. DISCLOSURE IN THE PUBLIC INTER- the date of enactment of this Act, the Sec- amendment intended to be proposed by EST. retary, in consultation with the approved in- him to the bill S. 3240, to reauthorize Section 502(c) of the Federal Crop Insur- surance providers (as defined in section agricultural programs through 2017, ance Act (7 U.S.C. 1502(c)) is amended by 502(b) of the Federal Crop Insurance Act (7 and for other purposes; which was or- striking paragraph (2) and inserting the fol- U.S.C. 1502(b)), shall improve the existing lowing: Internet website through which agricultural dered to lie on the table; as follows: ‘‘(2) DISCLOSURE IN THE PUBLIC INTEREST.— producers in any State may identify crop in- On page 195, strike line 25 and all that fol- ‘‘(A) IN GENERAL.—Notwithstanding para- surance options in that State. lows through page 196, line 16, and insert the graph (1) or any other provision of law, ex- (2) REQUIREMENTS.—The website described following: cept as provided in subparagraph (B), the in paragraph (1) shall— ‘‘life habitat under subsection (g). Secretary shall on an annual basis make (A) provide answers in an easily accessible ‘‘(3) WATER QUANTITY IMPROVEMENT.—For available to the public— format to frequently asked questions; and each of fiscal years 2013 through 2017, at least ‘‘(i)(I) the name of each individual or enti- (B) include published materials of the De- 10 percent of the funds made available for ty who obtained a federally subsidized crop partment of Agriculture that relate to plans payments under the program shall be used to insurance, livestock, or forage policy or plan and policies of crop insurance offered under provide payments to producers to conserve of insurance during the previous fiscal year; that Act. surface water and groundwater in accordance ‘‘(II) the amount of premium subsidy re- (d) ADMINISTRATION.—Nothing in this sec- with subsection (h).’’; ceived by the individual or entity from the tion authorizes the Risk Management Agen- (5) by striking subsection (g) and inserting Corporation; and cy to sell a crop insurance policy or plan of the following: ‘‘(III) the amount of any Federal portion of insurance. ‘‘(g) WILDLIFE HABITAT INCENTIVE PRAC- indemnities paid in the event of a loss during TICE.—The Secretary shall provide payments that fiscal year for each policy associated SA 2367. Mrs. HAGAN (for herself, under the program for conservation practices with that individual or entity; and Mr. CRAPO, Mrs. MCCASKILL, Mr. RISCH, that support the restoration, development, ‘‘(ii) for each private insurance provider, Mr. PRYOR, Mr. CHAMBLISS, Ms. LAN- and improvement of wildlife habitat on eligi- by name— DRIEU, and Mr. VITTER) submitted an ble land, including— ‘‘(I) the underwriting gains earned through amendment intended to be proposed by ‘‘(1) upland wildlife habitat; participation in the federally subsidized crop her to the bill S. 3240, to reauthorize ‘‘(2) wetland wildlife habitat; insurance program; and agricultural programs through 2017, ‘‘(3) habitat for threatened and endangered ‘‘(II) the amount paid under this subtitle species; and for other purposes; which was or- for— dered to lie on the table; as follows: ‘‘(4) fish habitat; ‘‘(aa) administrative and operating ex- On page 1009, after line 11, add the fol- ‘‘(5) habitat on pivot corners and other ir- penses; lowing: regular areas of a field; and ‘‘(bb) any Federal portion of indemnities ‘‘(6) other types of wildlife habitat, as de- and reinsurance; and SEC. 12207. USE OF AUTHORIZED PESTICIDES; DISCHARGES OF PESTICIDES; RE- termined by the Secretary.’’; and ‘‘(cc) any other purpose. (6) in subsection (h), by adding at the end PORT. ‘‘(B) LIMITATION.—The Secretary shall not the following: (a) USE OF AUTHORIZED PESTICIDES.—Sec- disclose information pertaining to individ- tion 3(f) of the Federal Insecticide, Fun- ‘‘(3) USE OF FUNDS.— uals and entities covered by a catastrophic ‘‘(A) PRACTICES.—The Secretary shall pro- gicide, and Rodenticide Act (7 U.S.C. 136a(f)) risk protection plan offered under section is amended by adding at the end the fol- mote surface water and groundwater con- 508(b).’’. servation by providing assistance in the form lowing: ‘‘(5) USE OF AUTHORIZED PESTICIDES.—Ex- of cost-share payments, incentive payments, SA 2366. Mrs. HAGAN submitted an and loans to producers to carry out eligible cept as provided in section 402(s) of the Fed- amendment intended to be proposed by eral Water Pollution Control Act (33 U.S.C. water conservation practices with respect to 1342), the Administrator or a State shall not the agricultural operations of producers— her to the bill S. 3240, to reauthorize require a permit under that Act for a dis- ‘‘(i) to improve irrigation systems; agricultural programs through 2017, charge from a point source into navigable ‘‘(ii) to enhance irrigation efficiencies; and for other purposes; which was or- waters of— ‘‘(iii) to convert to— dered to lie on the table; as follows: ‘‘(A) a pesticide authorized for sale, dis- ‘‘(I) the production of less water-intensive At the end of title XI, add the following: tribution, or use under this Act; or crops; SEC. 110ll. GREATER ACCESSIBILITY FOR CROP ‘‘(B) the residue of the pesticide, resulting ‘‘(II) dryland farming; or INSURANCE. from the application of the pesticide.’’. ‘‘(III) long-term grassland rotation; (a) FINDINGS.—Congress finds that— (b) DISCHARGES OF PESTICIDES.—Section 402 ‘‘(iv) to improve the storage of water (1) due to changes in commodity and other of the Federal Water Pollution Control Act through measures such as water banking and agricultural programs made by the Agri- (33 U.S.C. 1342) is amended by adding at the groundwater recharge; culture Reform, Food, and Jobs Act of 2012, end the following: ‘‘(v) to mitigate the effects of drought; and it is more important than ever that agricul- ‘‘(s) DISCHARGES OF PESTICIDES.— ‘‘(vi) to carry out other measures that im- tural producers be able to fully understand ‘‘(1) NO PERMIT REQUIREMENT.—Except as prove surface water and groundwater con- the terms of plans and policies of crop insur- provided in paragraph (2), a permit shall not servation, as determined by the Secretary, in ance offered under the Federal Crop Insur- be required by the Administrator or a State the agricultural operations of the producers. ance Act (7 U.S.C. 1501 et seq.); and under this Act for a discharge from a point ‘‘(B) ALLOCATION.— (2) proposed reductions by the Secretary in source into navigable waters of— ‘‘(i) IN GENERAL.—Subject to clause (ii), in the number of State and local offices of the ‘‘(A) a pesticide authorized for sale, dis- allocating funds under this paragraph, the Farm Service Agency will reduce the serv- tribution, or use under the Federal Insecti- Secretary shall ensure that not less than 50 ices available to assist agricultural pro- cide, Fungicide, and Rodenticide Act (7 percent shall be directed to groundwater ducers in understanding crop insurance. U.S.C. 136 et seq.); or conservation in multistate aquifers based on (b) REQUIREMENT FOR USE OF PLAIN LAN- ‘‘(B) the residue of the pesticide, resulting the magnitude of withdrawals from the GUAGE.— from the application of the pesticide. multistate aquifers for irrigation during the (1) IN GENERAL.—In issuing regulations and ‘‘(2) EXCEPTIONS.—Paragraph (1) shall not prior year and the historic groundwater level guidance relating to plans and policies of apply to the following discharges of a pes- reductions. crop insurance, the Risk Management Agen- ticide or pesticide residue: ‘‘(ii) REQUIREMENT.—In carrying out clause cy and the Federal Crop Insurance Corpora- ‘‘(A) A discharge resulting from the appli- (i), the Secretary shall provide assistance to tion shall, to the greatest extent practicable, cation of a pesticide in violation of a provi- producers to carry out groundwater con- use plain language, as required under Execu- sion of the Federal Insecticide, Fungicide, servation practices in areas overlying those tive Orders 12866 (5 U.S.C. 601 note; relating and Rodenticide Act (7 U.S.C. 136 et seq.) rel- portions of multistate aquifers that have ex- to regulatory planning and review) and 12988 evant to protecting water quality if— perienced the highest historic groundwater (28 U.S.C. 519 note; relating to civil justice ‘‘(i) the discharge would not have occurred level reductions.’’. reform). without the violation; or (2) REPORT.—Not later than 180 days after ‘‘(ii) the amount of pesticide or pesticide SA 2365. Mr. BEGICH (for himself and the date of enactment of this Act, the Sec- residue in the discharge is greater than Mr. MCCAIN) submitted an amendment retary shall submit to the Committee on Ag- would have occurred without the violation.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00062 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.043 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3993 ‘‘(B) Stormwater discharges subject to reg- modities delivered under section 6 of the (1) the school lunch program established ulation under subsection (p). Richard B. Russell National School Lunch under the Richard B. Russell National ‘‘(C) The following discharges subject to Act (42 U.S.C. 1755), the Secretary shall pur- School Lunch Act (42 U.S.C. 1751 et seq.); and regulation under this section: chase eligible pulse crops and pulse crop (2) the school breakfast program estab- ‘‘(i) Manufacturing or industrial effluent. products for use in— lished by section 4 of the Child Nutrition Act ‘‘(ii) Treatment works effluent. (1) the school lunch program established of 1966 (42 U.S.C. 1773). ‘‘(iii) Discharges incidental to the normal under the Richard B. Russell National (d) EVALUATION.—Not later than Sep- operation of a vessel, including a discharge School Lunch Act (42 U.S.C. 1751 et seq.); and tember 30, 2016, the Secretary shall conduct resulting from ballasting operations or ves- (2) the school breakfast program estab- an evaluation of the activities conducted sel biofouling prevention.’’. lished by section 4 of the Child Nutrition Act under subsection (c), including— (c) REPORT.—Not later than 1 year after of 1966 (42 U.S.C. 1773). (1) an evaluation of whether children par- the date of enactment of this Act, the Ad- (d) EVALUATION.—Not later than Sep- ticipating in the school lunch and breakfast ministrator of the Environmental Protection tember 30, 2016, the Secretary shall conduct programs described in subsection (c) in- Agency, in consultation with the Secretary an evaluation of the activities conducted creased overall consumption of eligible pulse of Agriculture, shall submit a report to the under subsection (c), including— crops as a result of the activities; Committee on Environment and Public (1) an evaluation of whether children par- (2) an evaluation of which eligible pulse Works and the Committee on Agriculture of ticipating in the school lunch and breakfast crops and pulse crop products are most ac- the Senate and the Committee on Transpor- programs described in subsection (c) in- ceptable for use in the school lunch and tation and Infrastructure and the Committee creased overall consumption of eligible pulse breakfast programs; on Agriculture of the House of Representa- crops as a result of the activities; (3) any recommendations of the Secretary tives that includes— (2) an evaluation of which eligible pulse regarding the integration of the use of pulse (1) the status of intra-agency coordination crops and pulse crop products are most ac- crop products in carrying out the school between the Office of Water and the Office of ceptable for use in the school lunch and lunch and breakfast programs; Pesticide Programs of the Environmental breakfast programs; (4) an evaluation of any change in the nu- Protection Agency regarding streamlining (3) any recommendations of the Secretary trient composition in the school lunch and breakfast programs due to the activities; and information collection, standards of review, regarding the integration of the use of pulse (5) an evaluation of any other outcomes de- and data use relating to water quality im- crop products in carrying out the school termined to be appropriate by the Secretary. pacts from the registration and use of pes- lunch and breakfast programs; (e) REPORT.—As soon as practicable after ticides; (4) an evaluation of any change in the nu- the completion of the evaluation under sub- (2) an analysis of the effectiveness of cur- trient composition in the school lunch and section (d), the Secretary shall submit to the rent regulatory actions relating to pesticide breakfast programs due to the activities; and Committee on Agriculture, Nutrition, and registration and use aimed at protecting (5) an evaluation of any other outcomes de- Forestry of the Senate and the Committee water quality; and termined to be appropriate by the Secretary. on Education and the Workforce of the (3) any recommendations on how the Fed- (e) REPORT.—As soon as practicable after House of Representative a report describing eral Insecticide, Fungicide, and Rodenticide the completion of the evaluation under sub- the results of the evaluation. Act (7 U.S.C. 136 et seq.) can be modified to section (d), the Secretary shall submit to the (f) AUTHORIZATION OF APPROPRIATIONS.— better protect water quality and human Committee on Agriculture, Nutrition, and There is authorized to be appropriated to health. Forestry of the Senate and the Committee carry out this section $10,000,000, to remain on Education and the Workforce of the available until expended. SA 2368. Mrs. GILLIBRAND sub- House of Representative a report describing mitted an amendment intended to be the results of the evaluation. SA 2371. Mr. MERKLEY (for himself proposed by her to the bill S. 3240, to (f) FUNDING.— and Ms. COLLINS) submitted an amend- reauthorize agricultural programs (1) IN GENERAL.—On October 1, 2013, out of ment intended to be proposed by him through 2017, and for other purposes; any funds in the Treasury not otherwise ap- to the bill S. 3240, to reauthorize agri- which was ordered to lie on the table; propriated, the Secretary of the Treasury cultural programs through 2017, and for as follows: shall transfer to the Secretary to carry out other purposes; which was ordered to this section $5,000,000. lie on the table; as follows: On page 953, lines 6 through 8, strike ‘‘for (2) RECEIPT AND ACCEPTANCE.—The Sec- programs administered or managed by the retary shall be entitled to receive, shall ac- In section 8103, strike ‘‘Section 7’’ and all Risk Management Agency’’ and insert ‘‘to cept, and shall use to carry out this section that follows through ‘‘inserting the fol- increase the amount of the annual supple- the funds transferred under paragraph (1), lowing:’’ and insert the following: Section 7 of the Cooperative Forestry As- mental nutrition assistance program con- without further appropriation. solidated block grants for Puerto Rico and sistance Act of 1978 (16 U.S.C. 2103c) is amended— American Samoa under section 19 of the SA 2370. Ms. CANTWELL submitted Food and Nutrition Act of 2008 (7 U.S.C. (1) in subsection (l), by adding at the end 2028), in an amount not to exceed an increase an amendment intended to be proposed the following: of 25 percent each fiscal year until ex- by her to the bill S. 3240, to reauthorize ‘‘(4) STATE AUTHORIZATION.— pended’’. agricultural programs through 2017, ‘‘(A) DEFINITION OF QUALIFIED ORGANIZA- and for other purposes; which was or- TION.—In this paragraph, a ‘qualified organi- SA 2369. Ms. CANTWELL submitted dered to lie on the table; as follows: zation’ means an organization— ‘‘(i) defined in section 170(h)(3) of the Inter- an amendment intended to be proposed On page 361, between lines 8 and 9, insert by her to the bill S. 3240, to reauthorize nal Revenue Code of 1986; and the following: ‘‘(ii) organized for 1 or more of the pur- agricultural programs through 2017, SEC. 4208. PULSE CROP PRODUCTS. poses described in section 170(h)(4)(A) of that and for other purposes; which was or- (a) PURPOSE.—The purpose of this section Code. dered to lie on the table; as follows: is to encourage greater awareness and inter- ‘‘(B) AUTHORIZATION.—The Secretary shall, At the end of subtitle C of title XII, add est in the number and variety of pulse crop at the request of a State acting through the the following: products available to schoolchildren, as rec- State lead agency, authorize the State to SEC. 12207. PULSE CROP PRODUCTS. ommended by the most recent Dietary allow qualified organizations to acquire, (a) PURPOSE.—The purpose of this section Guidelines for Americans published under hold, and manage conservation easements, is to encourage greater awareness and inter- section 301 of the National Nutrition Moni- using funds provided through grants to the est in the number and variety of pulse crop toring and Related Research Act of 1990 (7 State under this subsection, for purposes of products available to schoolchildren, as rec- U.S.C. 5341). the Forest Legacy Program in the State. ommended by the most recent Dietary (b) DEFINITIONS.—In this section: ‘‘(C) ELIGIBILITY.—To be eligible to acquire Guidelines for Americans published under (1) ELIGIBLE PULSE CROP.—The term ‘‘eligi- and manage conservation easements under section 301 of the National Nutrition Moni- ble pulse crop’’ means dry beans, dry peas, this paragraph, a qualified organization shall toring and Related Research Act of 1990 (7 lentils, and chickpeas. demonstrate to the Secretary the abilities U.S.C. 5341). (2) PULSE CROP PRODUCT.—The term ‘‘pulse necessary to acquire, monitor, and enforce (b) DEFINITIONS.—In this section: crop product’’ means a food product derived interests in forest land consistent with the (1) ELIGIBLE PULSE CROP.—The term ‘‘eligi- in whole or in part from an eligible pulse Forest Legacy Program and the assessment ble pulse crop’’ means dry beans, dry peas, crop. of need for the State. lentils, and chickpeas. (c) PURCHASE OF PULSE CROPS AND PULSE ‘‘(D) REVERSION.— (2) PULSE CROP PRODUCT.—The term ‘‘pulse CROP PRODUCTS.—In addition to the com- ‘‘(i) IN GENERAL.—If the Secretary, or a crop product’’ means a food product derived modities delivered under section 6 of the State acting through the State lead agency, in whole or in part from an eligible pulse Richard B. Russell National School Lunch makes any of the determinations described crop. Act (42 U.S.C. 1755), the Secretary shall pur- in clause (ii) with respect to a conservation (c) PURCHASE OF PULSE CROPS AND PULSE chase eligible pulse crops and pulse crop easement acquired by a qualified organiza- CROP PRODUCTS.—In addition to the com- products for use in— tion under subparagraph (B)—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00063 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.045 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3994 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(I) all right, title, and interest of the (5) in addition to being the main source of not contain low-temperature rendered prod- qualified organization in and to the con- compliance assistance, small and rural water uct, also known as lean finely textured beef servation easement shall terminate; and technical assistance has been the main (as defined by the Secretary), for use in ‘‘(II) all right, title, and interest in and to source of emergency response assistance in school meal programs under this Act and the the conservation easement shall revert to small and rural communities. Child Nutrition Act of 1966 (42 U.S.C. 1771 et the State or other qualified designee ap- (c) SENSE OF CONGRESS.—It is the sense of seq.).’’. proved by the State. Congress that— ‘‘(ii) DETERMINATIONS.—The determina- (1) to most effectively assist small and SA 2376. Mr. TOOMEY submitted an tions referred to in clause (i) are that— rural communities, the Environmental Pro- amendment intended to be proposed by ‘‘(I) the qualified organization is unable to tection Agency should prioritize the types of him to the bill S. 3240, to reauthorize carry out the responsibilities of the qualified technical assistance that are most beneficial agricultural programs through 2017, organization under the Forest Legacy Pro- to those communities, based on input from and for other purposes; which was or- gram in the State with respect to the con- those communities; and dered to lie on the table; as follows: servation easement; (2) local support is the key to making Fed- Beginning on page 312, strike line 9 and all ‘‘(II) the conservation easement has been eral assistance initiatives work in small and that follows through page 339, line 15, and in- modified or is being administered in a way rural communities to the maximum benefit. sert the following: that is inconsistent with the purposes of the (d) FUNDING PRIORITIES.—Section 1442(e) of Forest Legacy Program or the assessment of the Safe Drinking Water Act (42 U.S.C. 300j– SEC. 4002. LIMITATION ON CATEGORICAL ELIGI- BILITY. need for the State; or 1(e)) is amended— (a) IN GENERAL.—Section 5 of the Food and ‘‘(III) the conservation easement has been (1) by designating the first through sev- Nutrition Act of 2008 (7 U.S.C. 2014) is amend- conveyed to another person (other than a enth sentences as paragraphs (1) through (7), ed— qualified organization approved by the State respectively; (1) in the second sentence of subsection (a), and the Secretary).’’; and (2) in paragraph (5) (as so designated), by by striking ‘‘households in which each mem- (2) by striking subsection (m) and inserting striking ‘‘1997 through 2003’’ and inserting ber receives benefits’’ and inserting ‘‘house- the following: ‘‘2012 through 2017’’; and holds in which each member receives cash (3) by adding at the end the following: assistance’’; and SA 2372. Mr. JOHANNS submitted an ‘‘(8) NONPROFIT ORGANIZATIONS.— (2) in subsection (j), by striking ‘‘or who amendment intended to be proposed by ‘‘(A) IN GENERAL.—The Administrator may receives benefits under a State program’’ and use amounts made available to carry out him to the bill S. 3240, to reauthorize inserting ‘‘or who receives cash assistance this section to provide technical assistance agricultural programs through 2017, under a State program’’. to nonprofit organizations that provide to and for other purposes; which was or- (b) EFFECTIVE DATE.—The amendments dered to lie on the table; as follows: small public water systems onsite technical made by this section shall— assistance, circuit-rider technical assistance On page 1009, after line 11, add the fol- (1) take effect on the date of enactment of programs, onsite and regional training, as- this Act; and lowing: sistance with implementing source water SEC. 122lll. PROHIBITION ON AERIAL SUR- (2) only apply to certification periods that protection plans, and assistance with imple- begin on or after that date. VEILLANCE OF AGRICULTURAL OP- mentation monitoring plans, rules, regula- ERATIONS. SEC. 4003. STANDARD UTILITY ALLOWANCE. tions, and water security enhancements. The Administrator of the Environmental (a) STANDARD UTILITY ALLOWANCE.—Sec- ‘‘(B) PREFERENCE.—To ensure that tech- Protection Agency shall not conduct aerial tion 5 of the Food and Nutrition Act of 2008 nical assistance funding is used in a manner surveillance to inspect agricultural oper- (7 U.S.C. 2014) is amended— that is most beneficial to the small and rural ations or to record images of agricultural op- (1) in subsection (e)(6)(C), by striking communities of a State, the Administrator erations. clause (iv); and shall give preference under this paragraph to (2) in subsection (k), by striking paragraph SA 2373. Mr. WICKER (for himself, nonprofit organizations that, as determined (4) and inserting the following: by the Administrator, are the most qualified Mr. CONRAD, Mr. INHOFE, Ms. LANDRIEU, ‘‘(4) THIRD PARTY ENERGY ASSISTANCE PAY- and experienced and that the small commu- Mr. COCHRAN, and Mr. TESTER) sub- MENTS.—For purposes of subsection (d)(1), a nity water systems in that State find to be payment made under a State law (other than mitted an amendment intended to be the most beneficial and effective. proposed by him to the bill S. 3240, to a law referred to in paragraph (2)(G)) to pro- ‘‘(9) CONSULTATION.—In carrying out para- vide energy assistance to a household shall reauthorize agricultural programs graphs (1) through (3), the Administrator be considered money payable directly to the through 2017, and for other purposes; may consult or coordinate with the Sec- household.’’. which was ordered to lie on the table; retary of Agriculture, acting through the (b) CONFORMING AMENDMENTS.—Section as follows: Under Secretary of Rural Development.’’. 2605(f)(2) of the Low-Income Home Energy On page 1009, after line 11, add the fol- Assistance Act of 1981 (42 U.S.C. 8624(f)(2)) is SA 2374. Mr. DEMINT submitted an lowing: amended— amendment intended to be proposed by SECTION 12207. GRASSROOTS RURAL AND SMALL (1) in the matter preceding subparagraph COMMUNITY WATER SYSTEMS AS- him to the bill S. 3240, to reauthorize (A), by striking ‘‘and for purposes of deter- SISTANCE. agricultural programs through 2017, mining any excess shelter expense deduction (a) SHORT TITLE.—This Section may be and for other purposes; which was or- under section 5(e) of the Food and Nutrition cited as the ‘‘Grassroots Rural and Small dered to lie on the table; as follows: Act of 2008 (7 U.S.C. 2014(e))’’; and Community Water Systems Assistance Act’’. (2) in subparagraph (A), by inserting before At the appropriate place, insert the fol- (b) FINDINGS.—Congress finds that— the semicolon the following: ‘‘, except that lowing: (1) the Safe Drinking Water Act Amend- such payments or allowances shall not be ments of 1996 (Public Law 104–182) authorized SEC. ll. REPEAL OF DODD-FRANK ACT. considered to be expended for purposes of de- technical assistance for small and rural com- The Dodd-Frank Wall Street Reform and termining any excess shelter expense deduc- munities to assist those communities in Consumer Protection Act (Public Law 111– tion under section 5(e)(6) of the Food and Nu- complying with regulations promulgated 203) is repealed, and the provisions of law trition Act of 2008 (7 U.S.C. 2014(e)(6))’’. pursuant to the Safe Drinking Water Act (42 amended by such Act are revived or restored (c) EFFECTIVE DATE.—The amendments U.S.C. 300f et seq.); as if such Act had not been enacted. made by this section shall— (2) technical assistance and compliance (1) take effect on the date of enactment of training— SA 2375. Mr. MENENDEZ submitted this Act; and (A) ensures that Federal regulations do not an amendment intended to be proposed (2) only apply to certification periods that overwhelm the resources of small and rural by him to the bill S. 3240, to reauthor- begin on or after that date. communities; and ize agricultural programs through 2017, SEC. 4004. ELIGIBILITY DISQUALIFICATIONS. (B) provides small and rural communities and for other purposes; which was or- Section 6(e)(3)(B) of Food and Nutrition lacking technical resources with the nec- dered to lie on the table; as follows: Act of 2008 (7 U.S.C. 2015(e)(3)(B)) is amended essary skills to improve and protect water by striking ‘‘section’’ and inserting the fol- resources; On page 361, between lines 8 and 9, insert lowing: ‘‘section, subject to the condition (3) across the United States, more than 90 the following: that the course or program of study— percent of the community water systems SEC. 4208. LEAN FINELY TEXTURED BEEF. ‘‘(i) is part of a program of career and tech- serve a population of less than 10,000 individ- Section 14 of the Richard B. Russell Na- nical education (as defined in section 3 of the uals; tional School Lunch Act (42 U.S.C. 1762a) is Carl D. Perkins Career and Technical Edu- (4) small and rural communities have the amended by adding at the end the following: cation Act of 2006 (20 U.S.C. 2302)) that may greatest difficulty providing safe, affordable ‘‘(i) LEAN FINELY TEXTURED BEEF.—The be completed in not more than 4 years at an public drinking water and wastewater serv- Secretary shall give States and school food institution of higher education (as defined in ices due to limited economies of scale and authorities the option to purchase and re- section 102 of the Higher Education Act of lack of technical expertise; and ceive meat and meat food products that do 1965 (20 U.S.C. 1002)); or

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‘‘(ii) is limited to remedial courses, basic ‘‘(B) EXEMPTIONS.—The Secretary may ex- ‘‘(II) after an excessive number of lost adult education, literacy, or English as a empt categories of retail food stores or indi- cards, the head of the household shall be re- second language;’’. vidual retail food stores from subparagraph quired to review program rights and respon- SEC. 4005. ENDING SUPPLEMENTAL NUTRITION (A) based on criteria established by the Sec- sibilities with State agency personnel au- ASSISTANCE PROGRAM BENEFITS retary. thorized to make determinations under sec- FOR LOTTERY OR GAMBLING WIN- ‘‘(5) UNIQUE IDENTIFICATION NUMBER RE- tion 5(a); and NERS. QUIRED.—The Secretary shall require all par- ‘‘(III) any action taken, including actions (a) IN GENERAL.—Section 6 of the Food and ties providing electronic benefit transfer required under section 6(b)(2), other than the Nutrition Act of 2008 (7 U.S.C. 2015) is amend- services to provide for and maintain unique withholding of the electronic benefit trans- ed by adding at the end the following: terminal identification number information fer card until an explanation described in ‘‘(r) INELIGIBILITY FOR BENEFITS DUE TO RE- through the supplemental nutrition assist- subclause (I) is provided, shall be consistent CEIPT OF SUBSTANTIAL LOTTERY OR GAMBLING ance program electronic benefit transfer with the due process protections under sec- WINNINGS.— transaction routing system.’’. tion 6(b) or 11(e)(10), as appropriate. ‘‘(1) IN GENERAL.—Any household in which (c) ELECTRONIC BENEFIT TRANSFERS.—Sec- ‘‘(C) PROTECTING VULNERABLE PERSONS.—In a member receives substantial lottery or tion 7(h)(3)(B) of the Food and Nutrition Act gambling winnings, as determined by the implementing this paragraph, a State agency of 2008 (7 U.S.C. 2016(h)(3)(B)) is amended by shall act to protect homeless persons, per- Secretary, shall lose eligibility for benefits striking ‘‘is operational—’’ and all that fol- immediately upon receipt of the winnings. sons with disabilities, victims of crimes, and lows through ‘‘(ii) in the case of other par- other vulnerable persons who lose electronic ‘‘(2) DURATION OF INELIGIBILITY.—A house- ticipating stores,’’ and inserting ‘‘is oper- hold described in paragraph (1) shall remain benefit transfer cards but are not inten- ational’’. tionally committing fraud. ineligible for participation until the house- (d) APPROVAL OF RETAIL FOOD STORES AND hold meets the allowable financial resources ‘‘(D) EFFECT ON ELIGIBILITY.—While a State WHOLESALE FOOD CONCERNS.—Section 9 of may decline to issue an electronic benefits and income eligibility requirements under the Food and Nutrition Act of 2008 (7 U.S.C. transfer card until a household satisfies the subsections (c), (d), (e), (f), (g), (i), (k), (l), 2018) is amended— requirements under this paragraph, nothing (m), and (n) of section 5. (1) in subsection (a)— in this paragraph shall be considered a denial ‘‘(3) AGREEMENTS.—As determined by the (A) in the second sentence of paragraph of, or limitation on, the eligibility for bene- Secretary, each State agency, to the max- (a)(1), by striking ‘‘; and (C)’’ and inserting fits under section 5.’’. imum extent practicable, shall establish ‘‘; (C) whether the applicant is located in an agreements with entities responsible for the area with significantly limited access to SEC. 4008. TECHNOLOGY MODERNIZATION FOR regulation or sponsorship of gaming in the food; and (D)’’; and RETAIL FOOD STORES. State to determine whether individuals par- (2) by adding at the end the following: (a) MOBILE TECHNOLOGIES.—Section 7(h) of ticipating in the supplemental nutrition as- ‘‘(4) RETAIL FOOD STORES WITH SIGNIFICANT the Food and Nutrition Act of 2008 (7 U.S.C. sistance program have received substantial SALES OF EXCEPTED ITEMS.— 2016(h)) (as amended by section 4020(e)) is lottery or gambling winnings.’’. ‘‘(A) IN GENERAL.—No retail food store for amended by adding at the end the following: (b) CONFORMING AMENDMENTS.—Section 5(a) which at least 45 percent of the total sales of ‘‘(14) MOBILE TECHNOLOGIES.— of the Food and Nutrition Act of 2008 (7 the retail food store is from the sale of ex- ‘‘(A) IN GENERAL.—Subject to subparagraph U.S.C. 2014(a)) is amended in the second sen- cepted items described in section 3(k)(1) may (B), the Secretary shall approve retail food tence by striking ‘‘sections 6(b), 6(d)(2), and be authorized to accept and redeem benefits stores to redeem benefits through electronic 6(g)’’ and inserting ‘‘subsections (b), (d)(2), means other than wired point of sale devices (g), and (r) of section 6’’. unless the Secretary determines that the participation of the retail food store is re- for electronic benefit transfer transactions, SEC. 4006. RETAIL FOOD STORES. quired for the effective and efficient oper- if the retail food stores— (a) DEFINITION OF RETAIL FOOD STORE.— ation of the supplemental nutrition assist- ‘‘(i) establish recipient protections regard- Subsection (o)(1)(A) of section 3 of the Food ing privacy, ease of use, access, and support and Nutrition Act of 2008 (7 U.S.C. 2012) (as ance program. ‘‘(B) APPLICATION.—Subparagraph (A) shall similar to the protections provided for trans- redesignated by section 4020(a)(4)) is amend- actions made in retail food stores; ed by striking ‘‘at least 2’’ and inserting ‘‘at be effective— ‘‘(i) in the case of retail food stores apply- ‘‘(ii) bear the costs of obtaining, installing, least 3’’. and maintaining mobile technologies, in- (b) ALTERNATIVE BENEFIT DELIVERY.—Sec- ing to be authorized for the first time, begin- cluding mechanisms needed to process EBT tion 7(f) of the Food and Nutrition Act of ning on the date that is 1 year after the date cards and transaction fees; 2008 (7 U.S.C. 2016(f)) is amended— of enactment of this paragraph; and (1) by striking paragraph (2) and inserting ‘‘(ii) in the case of retail food stores par- ‘‘(iii) demonstrate the foods purchased the following: ticipating in the program on the date of en- with benefits issued under this section through mobile technologies are purchased ‘‘(2) IMPOSITION OF COSTS.— actment of this paragraph, during periodic at a price not higher than the price of the ‘‘(A) IN GENERAL.—Except as provided in reauthorization in accordance with para- subparagraph (B), the Secretary shall require graph (2)(A).’’; and same food purchased by other methods used participating retail food stores (including (3) by adding at the end the following: by the retail food store, as determined by the restaurants participating in a State option ‘‘(g) EBT SERVICE REQUIREMENT.—An ap- Secretary; restaurant program intended to serve the el- proved retail food store shall provide ade- ‘‘(iv) provide adequate documentation for derly, disabled, and homeless) to pay 100 per- quate EBT service as described in section each authorized transaction, as determined cent of the costs of acquiring, and arrange 7(h)(3)(B).’’. by the Secretary; and for the implementation of, electronic benefit SEC. 4007. IMPROVING SECURITY OF FOOD AS- ‘‘(v) meet other criteria as established by transfer point-of-sale equipment and sup- SISTANCE. the Secretary. plies, including related services. Section 7(h)(8) of the Food and Nutrition ‘‘(B) DEMONSTRATION PROJECT ON ACCEPT- ‘‘(B) EXEMPTIONS.—The Secretary may ex- Act of 2008 (7 U.S.C. 2016(h)(8)) is amended— ANCE OF BENEFITS OF MOBILE TRANSACTIONS.— empt from subparagraph (A)— (1) by striking the paragraph heading and ‘‘(i) IN GENERAL.—Before authorizing im- ‘‘(i) farmers’ markets, military com- inserting ‘‘REPLACEMENT OF CARDS.—’’; plementation of subparagraph (A) in all missaries, nonprofit food buying coopera- (2) by striking ‘‘A State’’ and inserting the States, the Secretary shall pilot the use of tives, and establishments, organizations, following: mobile technologies determined by the Sec- programs, or group living arrangements de- ‘‘(A) FEES.—A State’’; and retary to be appropriate to test the feasi- scribed in paragraphs (5), (7), and (8) of sec- (3) by adding after subparagraph (A) (as so bility and implications for program integ- tion 3(k); and designated by paragraph (2)) the following: rity, by allowing retail food stores to accept ‘‘(ii) establishments described in para- ‘‘(B) PURPOSEFUL LOSS OF CARDS.— benefits from recipients of supplemental nu- graphs (3), (4), and (9) of section 3(k), other ‘‘(i) IN GENERAL.—Subject to terms and trition assistance through mobile trans- than restaurants participating in a State op- conditions established by the Secretary in actions. tion restaurant program.’’; and accordance with clause (ii), if a household ‘‘(ii) DEMONSTRATION PROJECTS.—To be eli- (2) by adding at the end the following: makes excessive requests for replacement of gible to participate in a demonstration ‘‘(4) TERMINATION OF MANUAL VOUCHERS.— the electronic benefit transfer card of the project under clause (i), a retail food store ‘‘(A) IN GENERAL.—Effective beginning on household, the Secretary may require a shall submit to the Secretary for approval a the date of enactment of this paragraph, ex- State agency to decline to issue a replace- plan that includes— cept as provided in subparagraph (B), no ment card to the household unless the house- ‘‘(I) a description of the technology; State shall issue manual vouchers to a hold, upon request of the State agency, pro- ‘‘(II) the manner by which the retail food household that receives supplemental nutri- vides an explanation for the loss of the card. store will provide proof of the transaction to tion assistance under this Act or allow retail ‘‘(ii) REQUIREMENTS.—The terms and condi- households; food stores to accept manual vouchers as tions established by the Secretary shall pro- ‘‘(III) the provision of data to the Sec- payment, unless the Secretary determines vide that— retary, consistent with requirements estab- that the manual vouchers are necessary, ‘‘(I) the household be given the oppor- lished by the Secretary, in a manner that al- such as in the event of an electronic benefit tunity to provide the requested explanation lows the Secretary to evaluate the impact of transfer system failure or a disaster situa- and meet the requirements under this para- the demonstration on participant access, tion. graph promptly; ease of use, and program integrity; and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00065 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.047 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3996 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(IV) such other criteria as the Secretary ‘‘(iii) adequate testing of the on-line pur- vate establishments that the State deter- may require. chasing option prior to implementation; mines necessary to meet the need identified ‘‘(iii) DATE OF COMPLETION.—The dem- ‘‘(iv) the provision of data as requested by in clause (i); and onstration projects under this subparagraph the Secretary for purposes of analyzing the ‘‘(iii) any other conditions the Secretary shall be completed and final reports sub- impact of the project on participant access, may prescribe, such as the level of security mitted to the Secretary by not later than ease of use, and program integrity; necessary to ensure that only eligible recipi- July 1, 2015. ‘‘(v) reports on progress, challenges, and ents participate in the program; and ‘‘(C) REPORT TO CONGRESS.—The Secretary results, as determined by the Secretary; and ‘‘(B) a report by the State agency to the shall— ‘‘(vi) such other criteria, including secu- Secretary annually, the schedule of which ‘‘(i) by not later than January 1, 2016, au- rity criteria, as established by the Secretary. shall be established by the Secretary, that thorize implementation of subparagraph (A) ‘‘(C) DATE OF COMPLETION.—The demonstra- includes— in all States, unless the Secretary makes a tion projects under this paragraph shall be ‘‘(i) the number of households and indi- finding, based on the data provided under completed and final reports submitted to the vidual recipients authorized to participate in subparagraph (B), that implementation in all Secretary by not later than July 1, 2015. the program, including any information on States is not in the best interest of the sup- ‘‘(5) REPORT TO CONGRESS.—The Secretary whether the individual recipient is elderly, plemental nutrition assistance program; and shall— disabled, or homeless; and ‘‘(ii) if the determination made in clause ‘‘(A) by not later than January 1, 2016, au- ‘‘(ii) an assessment of whether the program (i) is not to implement subparagraph (A) in thorize implementation of paragraph (1) in is meeting an established need, as docu- all States, submit a report to the Committee all States, unless the Secretary makes a mented under subparagraph (A)(i).’’. on Agriculture of the House of Representa- finding, based on the data provided under (b) APPROVAL OF RETAIL FOOD STORES AND tives and the Committee on Agriculture, Nu- paragraph (4), that implementation in all WHOLESALE FOOD CONCERNS.—Section 9 of trition, and Forestry of the Senate that in- States is not in the best interest of the sup- the Food and Nutrition Act of 2008 (7 U.S.C. cludes the basis of the finding.’’. plemental nutrition assistance program; and 2018) (as amended by section 4006(d)(3)) is (b) ACCEPTANCE OF BENEFITS THROUGH ON- ‘‘(B) if the determination made in subpara- amended by adding at the end the following: LINE TRANSACTIONS.— graph (A) is not to implement in all States, ‘‘(h) PRIVATE ESTABLISHMENTS.— (1) IN GENERAL.—Section 7 of the Food and submit a report to the Committee on Agri- Nutrition Act of 2008 (7 U.S.C. 2016) is amend- ‘‘(1) IN GENERAL.—Subject to paragraph (2), culture of the House of Representatives and no private establishment that contracts with ed by adding at the end the following: the Committee on Agriculture, Nutrition, ‘‘(k) OPTION TO ACCEPT PROGRAM BENEFITS a State agency to offer meals at concessional and Forestry of the Senate that includes the THROUGH ON-LINE TRANSACTIONS.— prices as described in paragraphs 3, 4, and 9 basis of the finding.’’. ‘‘(1) IN GENERAL.—Subject to paragraph (4), of section 3(k) may be authorized to accept (2) CONFORMING AMENDMENTS.— the Secretary shall approve retail food stores and redeem benefits unless the Secretary de- (A) Section 7(b) of the Food and Nutrition to accept benefits from recipients of supple- termines that the participation of the pri- Act of 2008 (7 U.S.C. 2016(b)) is amended by mental nutrition assistance through on-line vate establishment is required to meet a doc- striking ‘‘purchase food in retail food stores’’ transactions. umented need in accordance with section and inserting ‘‘purchase food from retail food ‘‘(2) REQUIREMENTS TO ACCEPT BENEFITS.—A 11(e)(24). stores’’. retail food store seeking to accept benefits ‘‘(2) EXISTING CONTRACTS.— (B) Section 10 of the Food and Nutrition from recipients of supplemental nutrition as- ‘‘(A) IN GENERAL.—If, on the day before the sistance through on-line transactions shall— Act of 2008 (7 U.S.C. 2019) is amended in the date of enactment of this subsection, a State ‘‘(A) establish recipient protections regard- first sentence by inserting ‘‘retail food stores has entered into a contract with a private es- ing privacy, ease of use, access, and support authorized to accept and redeem benefits tablishment described in paragraph (1) and similar to the protections provided for trans- through on-line transactions shall be author- the Secretary has not determined that the actions made in retail food stores; ized to accept benefits prior to the delivery participation of the private establishment is ‘‘(B) ensure benefits are not used to pay de- of food if the delivery occurs within a rea- necessary to meet a documented need in ac- livery, ordering, convenience, or other fees sonable time of the purchase, as determined cordance with section 11(e)(24), the Secretary or charges; by the Secretary,’’ after ‘‘food so pur- shall allow the operation of the private es- ‘‘(C) clearly notify participating house- chased,’’. tablishment to continue without that deter- (c) SAVINGS CLAUSE.—Nothing in this sec- holds at the time a food order is placed— mination of need for a period not to exceed tion or an amendment made by this section ‘‘(i) of any delivery, ordering, convenience, alter any requirements of the Food and Nu- 180 days from the date on which the Sec- or other fee or charge associated with the trition Act of 2008 (7 U.S.C. 2011 et seq.) un- retary establishes determination criteria, by food purchase; and less specifically authorized in this section or regulation, under section 11(e)(24). ‘‘(ii) that any such fee cannot be paid with an amendment made by this section. ‘‘(B) JUSTIFICATION.—If the Secretary benefits provided under this Act; makes a determination to terminate a con- SEC. 4009. USE OF BENEFITS FOR PURCHASE OF ‘‘(D) ensure the security of on-line trans- COMMUNITY-SUPPORTED AGRI- tract with a private establishment that is in actions by using the most effective tech- CULTURE SHARE. effect on the date of enactment of this sub- nology available that the Secretary con- Section 10 of the Food and Nutrition Act of section, the Secretary shall provide jus- siders appropriate and cost-effective and 2008 (7 U.S.C. 2019) (as amended by section tification to the State in which the private that is comparable to the security of trans- 4008(b)(2)(B)) is amended in the first sentence establishment is located for that termi- actions at retail food stores; and by inserting ‘‘agricultural producers who nation. ‘‘(E) meet other criteria as established by market agricultural products directly to ‘‘(3) REPORT TO CONGRESS.—Not later than the Secretary. consumers shall be authorized to redeem 90 days after September 30, 2013, and 90 days ‘‘(3) STATE AGENCY ACTION.—Each State benefits for the initial cost of the purchase after the last day of each fiscal year there- agency shall ensure that recipients of supple- of a community-supported agriculture share after, the Secretary shall report to the Com- mental nutrition assistance can use benefits for an appropriate time in advance of food mittee on Agriculture of the House of Rep- on-line as described in this subsection as ap- delivery as determined by the Secretary,’’ resentatives and the Committee on Agri- propriate. after ‘‘as determined by the Secretary,’’. culture, Nutrition, and Forestry of the Sen- ‘‘(4) DEMONSTRATION PROJECT ON ACCEPT- SEC. 4010. RESTAURANT MEALS PROGRAM. ate on the effectiveness of a program under ANCE OF BENEFITS THROUGH ON-LINE TRANS- (a) IN GENERAL.—Section 11(e) of the Food this subsection using any information re- ACTIONS.— and Nutrition Act of 2008 (7 U.S.C. 2020(e)) is ceived from States under section 11(e)(24) as ‘‘(A) IN GENERAL.—Before the Secretary au- amended— well as any other information the Secretary thorizes implementation of paragraph (1) in (1) in paragraph (22), by striking ‘‘and’’ at may have relating to the manner in which all States, the Secretary shall carry out a the end; benefits are used.’’. number of demonstration projects as deter- (2) in paragraph (23), by striking the period (c) CONFORMING AMENDMENTS.—Section mined by the Secretary to test the feasi- at the end of subparagraph (C) and inserting 3(k) of the Food and Nutrition Act of 2008 (7 bility of allowing retail food stores to accept ‘‘; and’’; and U.S.C. 2012(k)) is amended by inserting ‘‘sub- benefits through on-line transactions. (3) by adding at the end the following: ject to section 9(h)’’ after ‘‘concessional ‘‘(B) DEMONSTRATION PROJECTS.—To be eli- ‘‘(24) if the State elects to carry out a pro- prices’’ each place it appears. gible to participate in a demonstration gram to contract with private establish- project under subparagraph (A), a retail food ments to offer meals at concessional prices, SEC. 4011. EMPLOYMENT AND TRAINING. store shall submit to the Secretary for ap- as described in paragraphs 3, 4, and 9 of sec- (a) ADMINISTRATIVE COSTS.—Section 16(a) proval a plan that includes— tion 3(k)— of the Food and Nutrition Act of 2008 (7 ‘‘(i) a method of ensuring that benefits ‘‘(A) the plans of the State agency for oper- U.S.C. 2025(a)) is amended in the matter pre- may be used to purchase only eligible items ating the program, including— ceding paragraph (1) by inserting ‘‘(other under this Act; ‘‘(i) documentation of a need that eligible than a program carried out under section ‘‘(ii) a description of the method of edu- homeless, elderly, and disabled clients are 6(d)(4) or 20)’’ after ‘‘supplemental nutrition cating participant households about the underserved in a particular geographic area; assistance program’’. availability and operation of on-line pur- ‘‘(ii) the manner by which the State agen- (b) FUNDING OF EMPLOYMENT AND TRAINING chasing; cy will limit participation to only those pri- PROGRAMS.—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00066 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.047 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3997

(1) IN GENERAL.—Section 16(h) of the Food (1) in paragraph (1), by striking ‘‘2008 funding for programs carried out under this and Nutrition Act of 2008 (7 U.S.C. 2025(h)) is through 2012’’ and inserting ‘‘2012 through Act.’’. amended— 2017’’; SEC. 4020. TECHNICAL AND CONFORMING (A) in paragraph (1)(A), by striking ‘‘for (2) by striking paragraph (2) and inserting AMENDMENTS. each fiscal year under section 18(a)(1), the following: $90,000,000 for each fiscal year.’’ and inserting ‘‘(2) AMOUNTS.—The Secretary shall use to SA 2377. Mr. TOOMEY submitted an the following: carry out paragraph (1)— amendment intended to be proposed by ‘‘under section 18(a)(1)— ‘‘(A) for fiscal year 2012, $260,000,000; and him to the bill S. 3240, to reauthorize ‘‘(B) for fiscal year 2013, $79,000,000; and ‘‘(B) for each subsequent fiscal year, the ‘‘(C) for each subsequent fiscal year, dollar amount of commodities specified in agricultural programs through 2017, $90,000,000.’’; subparagraph (A) adjusted by the percentage and for other purposes; which was or- (B) by striking paragraphs (2) and (3); and by which the thrifty food plan has been ad- dered to lie on the table; as follows: (C) by redesignating paragraphs (4) and (5) justed under section 3(u)(4) between June 30, Beginning on page 312, strike line 9 and all as paragraphs (2) and (3), respectively. 2012, and June 30 of the immediately pre- that follows through page 313, line 25, and in- (2) CONFORMING AMENDMENTS.— ceding fiscal year, and subsequently in- sert the following: (A) Section 17(b)(1)(B)(iv)(III)(hh) of the creased by— SEC. 4002. LIMITATION ON CATEGORICAL ELIGI- Food and Nutrition Act of 2008 (7 U.S.C. ‘‘(i) for fiscal year 2013, $28,000,000; BILITY. 2026(b)(1)(B)(iv)(III)(hh)) is amended by strik- ‘‘(ii) for fiscal year 2014, $24,000,000; (a) IN GENERAL.—Section 5 of the Food and ing ‘‘, (g), (h)(2), or (h)(3)’’ and inserting ‘‘or ‘‘(iii) for fiscal year 2015, $20,000,000; Nutrition Act of 2008 (7 U.S.C. 2014) is amend- (g)’’. ‘‘(iv) for fiscal year 2016, $18,000,000; and ed— (B) Section 22(d)(1)(B)(ii) of the Food and ‘‘(v) for fiscal year 2017 and each fiscal year (1) in the second sentence of subsection (a), Nutrition Act of 2008 (7 U.S.C. thereafter, $10,000,000.’’; and by striking ‘‘households in which each mem- 2031(d)(1)(B)(ii)) is amended by striking ‘‘, (3) by adding at the end the following: ber receives benefits’’ and inserting ‘‘house- (g), (h)(2), and (h)(3)’’ and inserting ‘‘and ‘‘(3) FUNDS AVAILABILITY.—For purposes of holds in which each member receives cash (g)’’. the funds described in this subsection, the assistance’’; and (c) WORKFARE.—Section 20 of the Food and Secretary shall— (2) in subsection (j), by striking ‘‘or who Nutrition Act of 2008 (7 U.S.C. 2029) is amend- ‘‘(A) make the funds available for 2 fiscal receives benefits under a State program’’ and ed by striking subsection (g). years; and inserting ‘‘or who receives cash assistance (d) EFFECTIVE DATE.—The amendments ‘‘(B) allow States to carry over unexpended under a State program’’. made by this section shall— balances to the next fiscal year pursuant to (b) EFFECTIVE DATE.—The amendments (1) take effect on October 1, 2012; and such terms and conditions as are determined made by this section shall— (2) apply only to certification periods that by the Secretary.’’. (1) take effect on the date of enactment of begin on or after that date. (b) EMERGENCY FOOD PROGRAM INFRASTRUC- this Act; and SEC. 4012. QUALITY CONTROL ERROR RATE DE- TURE GRANTS.—Section 209(d) of the Emer- (2) only apply to certification periods that TERMINATION. gency Food Assistance Act of 1983 (7 U.S.C. begin on or after that date. Section 16(c) of the Food and Nutrition Act 7511a(d)) is amended by striking ‘‘2012’’ and of 2008 (7 U.S.C. 2025(c)) is amended by adding SEC. 4003. STANDARD UTILITY ALLOWANCE. inserting ‘‘2017’’. at the end the following: (a) STANDARD UTILITY ALLOWANCE.—Sec- SEC. 4017. NUTRITION EDUCATION. tion 5 of the Food and Nutrition Act of 2008 ‘‘(10) TOLERANCE LEVEL.—For the purposes of this subsection, the Secretary shall set Section 28(b) of the Food and Nutrition Act (7 U.S.C. 2014) is amended— the tolerance level for excluding small errors of 2008 (7 U.S.C. 2036a(b)) is amended by in- (1) in subsection (e)(6)(C), by striking at $25.’’. serting ‘‘and physical activity’’ after clause (iv); and ‘‘healthy food choices’’. (2) in subsection (k), by striking paragraph SEC. 4013. REPEAL OF STATE BONUS PAYMENTS. (4) and inserting the following: (a) IN GENERAL.—Section 16 of the Food SEC. 4018. NUTRITION EDUCATION AND OBESITY and Nutrition Act of 2008 (7 U.S.C. 2025) is INDEXING. ‘‘(4) THIRD PARTY ENERGY ASSISTANCE PAY- amended by striking subsection (d). (a) IN GENERAL.—Section 28(d)(1) of the MENTS.—For purposes of subsection (d)(1), a (b) EFFECTIVE DATE.—The amendment Food and Nutrition Act of 2008 (7 U.S.C. payment made under a State law (other than made by this section shall— 2036a(d)(1)) is amended by striking ‘‘years—’’ a law referred to in paragraph (2)(G)) to pro- (1) take effect on October 1, 2012; and and all that follows through the period at vide energy assistance to a household shall (2) apply only to certification periods that the end, and inserting ‘‘years, $375,000,000.’’. be considered money payable directly to the begin on or after that date. (b) EFFECTIVE DATE.—The amendment household.’’. ONFORMING MENDMENTS SEC. 4014. AUTHORIZATION OF APPROPRIATIONS. made by this section shall— (b) C A .—Section Section 18(a)(1) of the Food and Nutrition (1) take effect on the date of enactment of 2605(f)(2) of the Low-Income Home Energy Act of 2008 (7 U.S.C. 2027(a)(1)) is amended in this Act; and Assistance Act of 1981 (42 U.S.C. 8624(f)(2)) is the first sentence by striking ‘‘2012’’ and in- (2) only apply to certification periods that amended— serting ‘‘2013’’. begin on or after that date. (1) in the matter preceding subparagraph SEC. 4015. ASSISTANCE FOR COMMUNITY FOOD SEC. 4019. RETAIL FOOD STORE AND RECIPIENT (A), by striking ‘‘and for purposes of deter- PROJECTS. TRAFFICKING. mining any excess shelter expense deduction Section 25 of the Food and Nutrition Act of The Food and Nutrition Act of 2008 (7 under section 5(e) of the Food and Nutrition 2008 (7 U.S.C. 2034) is amended— U.S.C. 2011 et seq.) is amended by adding at Act of 2008 (7 U.S.C. 2014(e))’’; and (1) in subsection (a)(1)(B)(ii)— the end the following: (2) in subparagraph (A), by inserting before (A) by striking subclause (I); and ‘‘SEC. 29. RETAIL FOOD STORE AND RECIPIENT the semicolon the following: ‘‘, except that (B) by redesignating subclauses (II) and TRAFFICKING. such payments or allowances shall not be (III) as subclauses (I) and (II), respectively; ‘‘(a) PURPOSE.—The purpose of this section considered to be expended for purposes of de- and is to provide the Department of Agriculture termining any excess shelter expense deduc- (2) in subsection (b), by adding at the end with additional resources to prevent traf- tion under section 5(e)(6) of the Food and Nu- the following: ficking in violation of this Act by strength- trition Act of 2008 (7 U.S.C. 2014(e)(6))’’. ‘‘(3) FUNDING.— ening recipient and retail food store program (c) EFFECTIVE DATE.—The amendments ‘‘(A) IN GENERAL.—Out of any funds in the integrity. made by this section shall— Treasury not otherwise appropriated, the ‘‘(b) USE OF FUNDS.—Additional funds are (1) take effect on the date of enactment of Secretary of the Treasury shall transfer to provided under this section to supplement this Act; and the Secretary to carry out this section not the retail food store and recipient integrity (2) only apply to certification periods that less than $5,000,000 for fiscal year 2013 and activities of the Department. begin on or after that date. each fiscal year thereafter. ‘‘(c) FUNDING.— On page 334, after line 22, insert the fol- ‘‘(B) RECEIPT AND ACCEPTANCE.—The Sec- ‘‘(1) IN GENERAL.—Out of any funds in the lowing: retary shall be entitled to receive, shall ac- Treasury not otherwise appropriated, the SEC. 4010. EMPLOYMENT AND TRAINING. cept, and shall use to carry out this section Secretary of the Treasury shall transfer to (a) ADMINISTRATIVE COSTS.—Section 16(a) the funds transferred under subparagraph the Secretary to carry out this section not of the Food and Nutrition Act of 2008 (7 (A), without further appropriation. less than $18,500,000 for fiscal year 2013 and U.S.C. 2025(a)) is amended in the matter pre- ‘‘(C) MAINTENANCE OF FUNDING.—The fund- each fiscal year thereafter. ceding paragraph (1) by inserting ‘‘(other ing provided under subparagraph (A) shall ‘‘(2) RECEIPT AND ACCEPTANCE.—The Sec- than a program carried out under section supplement (and not supplant) other Federal retary shall be entitled to receive, shall ac- 6(d)(4) or 20)’’ after ‘‘supplemental nutrition funding made available to the Secretary to cept, and shall use to carry out this section assistance program’’. carry out this section.’’. the funds transferred under paragraph (1), (b) FUNDING OF EMPLOYMENT AND TRAINING SEC. 4016. EMERGENCY FOOD ASSISTANCE. without further appropriation. PROGRAMS.— (a) PURCHASE OF COMMODITIES.—Section ‘‘(3) MAINTENANCE OF FUNDING.—The fund- (1) IN GENERAL.—Section 16(h) of the Food 27(a) of the Food and Nutrition Act of 2008 (7 ing provided under paragraph (1) shall sup- and Nutrition Act of 2008 (7 U.S.C. 2025(h)) is U.S.C. 2036(a)) is amended— plement (and not supplant) other Federal amended—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00067 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.047 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S3998 CONGRESSIONAL RECORD — SENATE June 12, 2012 (A) in paragraph (1)(A), by striking ‘‘for Reinvestment Act of 2009 (Public Law 111–5; him to the bill S. 3240, to reauthorize each fiscal year under section 18(a)(1), 123 Stat. 120; 124 Stat. 2394; 124 Stat. 3265) is agricultural programs through 2017, $90,000,000 for each fiscal year.’’ and inserting amended by striking ‘‘October 31, 2013’’ and and for other purposes; which was or- inserting ‘‘June 30, 2012’’. the following: dered to lie on the table; as follows: ‘‘under section 18(a)(1)— (b) EFFECTIVE DATE.—The amendment ‘‘(B) for fiscal year 2013, $79,000,000; and made by this section shall— On page 1009, after line 11, insert the fol- ‘‘(C) for each subsequent fiscal year, (1) take effect on the date of enactment of lowing: $90,000,000.’’; this Act; and SEC. 122ll. ASSISTANCE FOR FARMERS IM- (B) by striking paragraphs (2) and (3); and (2) only apply to certification periods that PACTED BY CANADA GEESE. (C) by redesignating paragraphs (4) and (5) begin on or after that date. (a) ASSISTANCE FOR LANDOWNERS WITH as paragraphs (2) and (3), respectively. CROPLAND DAMAGED BY CANADA GEESE.— Mr. TOOMEY submitted an (2) CONFORMING AMENDMENTS.— SA 2379. (1) IN GENERAL.—Not later than 60 days (A) Section 17(b)(1)(B)(iv)(III)(hh) of the amendment intended to be proposed by after the date of enactment of this Act, the Food and Nutrition Act of 2008 (7 U.S.C. him to the bill S. 3240, to reauthorize Secretary, acting through the Administrator 2026(b)(1)(B)(iv)(III)(hh)) is amended by strik- agricultural programs through 2017, of the Animal and Plant Health Inspection ing ‘‘, (g), (h)(2), or (h)(3)’’ and inserting ‘‘or and for other purposes; which was or- Service, shall prepare and submit a report to (g)’’. dered to lie on the table; as follows: Congress that contains an assessment of the (B) Section 22(d)(1)(B)(ii) of the Food and Strike section 1602 and insert the fol- resources needed to direct adequate per- Nutrition Act of 2008 (7 U.S.C. lowing: sonnel and equipment to assist landowners 2031(d)(1)(B)(ii)) is amended by striking ‘‘, SEC. 1602. REPEAL OF PERMANENT PRICE SUP- whose cropland is damaged by Canada geese. (g), (h)(2), and (h)(3)’’ and inserting ‘‘and PORT AUTHORITY. (2) EARLY ACTION.—The Secretary, acting (g)’’. (a) AGRICULTURAL ADJUSTMENT ACT OF through the Administrator of the Animal (c) WORKFARE.—Section 20 of the Food and 1938.—The following provisions of the Agri- and Plant Health Inspection Service and the Nutrition Act of 2008 (7 U.S.C. 2029) is amend- cultural Adjustment Act of 1938 are repealed: Director of Wildlife Services, as applicable, ed by striking subsection (g). (1) Parts II through V of subtitle B of title shall, to the extent practicable, direct more (d) EFFECTIVE DATE.—The amendments III (7 U.S.C. 1326 et seq.). personnel and equipment to respond to land- made by this section shall— (2) Section 377 (7 U.S.C. 1377). owner requests for assistance with respect to (1) take effect on October 1, 2012; and (3) Subtitle D of title III (7 U.S.C. 1379a et cropland that is being damaged by Canada (2) apply only to certification periods that seq.). geese. begin on or after that date. (4) Title IV (7 U.S.C. 1401 et seq.). (b) STUDY ON THE ECONOMIC IMPACTS OF On page 335, between lines 8 and 9, insert (b) AGRICULTURAL ACT OF 1949.—The fol- CANADA GEESE.— the following: lowing provisions of the Agricultural Act of (1) IN GENERAL.—Not later than 30 days SEC. 4011. REPEAL OF STATE BONUS PAYMENTS. 1949 are repealed: after the date of enactment of this Act, the (a) IN GENERAL.—Section 16 of the Food (1) Section 101 (7 U.S.C. 1441). Administrator of the National Agricultural and Nutrition Act of 2008 (7 U.S.C. 2025) is (2) Section 103(a) (7 U.S.C. 1444(a)). Statistics Service (referred to in this section amended by striking subsection (d). (3) Section 105 (7 U.S.C. 1444b). as ‘‘the Administrator’’) shall begin develop- (b) EFFECTIVE DATE.—The amendment (4) Section 107 (7 U.S.C. 1445a). ment of a study to gather data and deter- made by this section shall— (5) Section 110 (7 U.S.C. 1445e). mine the economic impact of migratory (1) take effect on October 1, 2012; and (6) Section 112 (7 U.S.C. 1445g). geese on farms located in significantly im- (2) apply only to certification periods that (7) Section 115 (7 U.S.C. 1445k). pacted States, as determined by the Admin- begin on or after that date. (8) Section 201 (7 U.S.C. 1446). istrator. On page 335, line 12, strike ‘‘2017’’ and in- (9) Title III (7 U.S.C. 1447 et seq.). (2) INITIATION AND DURATION.—The Admin- sert ‘‘2013’’. (10) Title IV (7 U.S.C. 1421 et seq.), other istrator shall— On page 338, between lines 10 and 11, insert than sections 404, 412, and 416 (7 U.S.C. 1424, (A) initiate the migratory geese study de- the following: 1429, and 1431). scribed in paragraph (1) not later than 180 (11) Title V (7 U.S.C. 1461 et seq.). days after the date of enactment of this Act; SEC. 4015. NUTRITION EDUCATION AND OBESITY (12) Title VI (7 U.S.C. 1471 et seq.). INDEXING. and (c) CERTAIN QUOTA PROVISIONS.—The joint (a) IN GENERAL.—Section 28(d)(1) of the (B) complete the study not later than 18 resolution entitled ‘‘A joint resolution relat- Food and Nutrition Act of 2008 (7 U.S.C. months after the date of enactment of this ing to corn and wheat marketing quotas Act. 2036a(d)(1)) is amended by striking ‘‘years—’’ under the Agricultural Adjustment Act of (3) CONSIDERATIONS.—The study conducted and all that follows through the period at 1938, as amended’’, approved May 26, 1941 (7 under this section shall consider— the end, and inserting ‘‘years, $375,000,000.’’. U.S.C. 1330 and 1340), is repealed. (b) EFFECTIVE DATE.—The amendment (d) EFFECTIVE DATE.—The amendments (A) the effects migratory geese have on made by this section shall— made by this section take effect on the date crop yields in any significantly impacted (1) take effect on the date of enactment of of enactment of this Act. States, including the annual estimated loss this Act; and for those States; (2) only apply to certification periods that SA 2380. Mr. CRAPO submitted an (B) which commodities are most affected begin on or after that date. amendment intended to be proposed by by goose depredation; On page 1009, after line 11, add the fol- him to the bill S. 3240, to reauthorize (C) which areas within the impacted States lowing: agricultural programs through 2017, are most affected by goose depredation; and SEC. 122lll. AMERICAN REINVESTMENT AND (D) the overall economic impact on Fed- RECOVERY ACT OF 2009 SUNSET. and for other purposes; which was or- eral, State, and local income as a result of (a) IN GENERAL.—Section 101(a)(2) of title I dered to lie on the table; as follows: goose depredation. of division A of the American Recovery and At the end of title VIII, insert the fol- (4) REPORT.— Reinvestment Act of 2009 (Public Law 111–5; lowing: (A) IN GENERAL.—After completion of the 123 Stat. 120; 124 Stat. 2394; 124 Stat. 3265) is SEC. 83ll. EXEMPTION FROM PERMITTING RE- migratory geese study conducted under this amended by striking ‘‘October 31, 2013’’ and QUIREMENTS FOR SILVICULTURAL section, the Administrator shall prepare and inserting ‘‘June 30, 2012’’. ROADS. submit a report on the findings of the study Notwithstanding any other provision of (b) EFFECTIVE DATE.—The amendment to— law, the Administrator of the Environmental made by this section shall— (i) the Director of the United States Fish Protection Agency shall not require a permit (1) take effect on the date of enactment of and Wildlife Service; and under section 402 of the Federal Water Pollu- this Act; and (ii) Congress. tion Control Act (33 U.S.C. 1342) or, either di- (2) only apply to certification periods that (B) AVAILABILITY.—The Administrator begin on or after that date. rectly or indirectly, require any State to re- quire a permit for discharges of stormwater shall make the report described in paragraph (1) available to the public. SA 2378. Mr. TOOMEY submitted an runoff from— (1) roads, the construction, use, or mainte- amendment intended to be proposed by SA 2382. Mr. MERKLEY (for himself, him to the bill S. 3240, to reauthorize nance of which are associated with silvicul- tural activities; or Mrs. FEINSTEIN, Mr. SANDERS, and Mr. agricultural programs through 2017, (2) other silvicultural activities, including KERRY) submitted an amendment in- and for other purposes; which was or- nursery operations, site preparation, refor- tended to be proposed by him to the dered to lie on the table; as follows: estation and subsequent cultural treatment, bill S. 3240, to reauthorize agricultural On page 1009, after line 11, add the fol- thinning, prescribed burning, pest and fire programs through 2017, and for other control, harvesting operations, or surface lowing: purposes; which was ordered to lie on SEC. 122lll. AMERICAN REINVESTMENT AND drainage. RECOVERY ACT OF 2009 SUNSET. the table; as follows: (a) IN GENERAL.—Section 101(a)(2) of title I SA 2381. Mr. MERKLEY submitted an On page 970, between lines 5 and 6, insert of division A of the American Recovery and amendment intended to be proposed by the following:

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00068 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.049 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S3999 SEC. 11019. CROP INSURANCE FOR ORGANIC (1) the acquired land shall be added to the (B) second appraisals, if ordered by cabin CROPS. Vicksburg National Military Park; owners and approved by the Forest Service. (a) IN GENERAL.—Section 508(c)(6) of the (2) the boundary of the Vicksburg National (7) CURRENT CABIN USER FEE.—The term Federal Crop Insurance Act (7 U.S.C. Military Park shall be adjusted to reflect the ‘‘current cabin user fee’’ means the most re- 1508(c)(6)) is amended by adding at the end acquisition of the land; and cent cabin user fee, as adjusted under section the following: (3) the acquired land shall be administered 8403(c). ‘‘(D) ORGANIC CROPS.— as part of the Vicksburg National Military (8) LOT.—The term ‘‘lot’’ means a parcel of ‘‘(i) IN GENERAL.—As soon as possible, but Park in accordance with applicable laws (in- National Forest System land on which a per- not later than the 2015 reinsurance year, the cluding regulations). son is authorized to build, use, occupy, and Corporation shall offer producers of organic (d) AUTHORIZATION OF APPROPRIATIONS.— maintain a cabin. crops price elections for all organic crops There are authorized to be appropriated such (9) NATIONAL FOREST SYSTEM LAND.—The produced in compliance with standards sums as are necessary to carry out this sec- term ‘‘National Forest System land’’ means issued by the Department of Agriculture tion. National Forest System land derived from under the national organic program estab- the public domain. lished under the Organic Foods Production SA 2384. Mr. CARDIN (for himself, (10) RECREATION RESIDENCE PROGRAM.—The Act of 1990 (7 U.S.C. 6501 et seq.) that reflect Mr. CARPER, Mr. CASEY, Mr. COONS, Ms. term ‘‘Recreation Residence Program’’ the actual retail or wholesale prices, as ap- MIKULSKI, Mr. ROCKEFELLER, Mr. WAR- means the Recreation Residence Program es- propriate, received by producers for organic tablished under the last paragraph under the NER, and Mr. WEBB) submitted an crops, as determined by the Secretary using heading ‘‘FOREST SERVICE’’ in the Act of all relevant sources of information. amendment intended to be proposed by March 4, 1915 (16 U.S.C. 497). ‘‘(ii) ANNUAL REPORT.—The Corporation him to the bill S. 3240, to reauthorize (11) SECRETARY.—The term ‘‘Secretary’’ shall submit to the Committee on Agri- agricultural programs through 2017, means the Secretary of Agriculture, acting culture of the House of Representatives and and for other purposes; which was or- through the Chief of the Forest Service. the Committee on Agriculture, Nutrition, dered to lie on the table; as follows: (12) TYPICAL LOT.—The term ‘‘typical lot’’ and Forestry of the Senate an annual report Beginning on page 246, strike line 7, and in- means a cabin lot, or group of cabin lots, in on progress made in developing and improv- sert the following: a tract that is selected for use in an ap- ing Federal crop insurance for organic crops, ‘‘quantity strategies. praisal as being representative of, and that including— ‘‘(d) FUNDING.—The Secretary shall ensure has similar value characteristics as, other ‘‘(I) the numbers and varieties of organic that the total amounts made available under lots or groups of lots within the tract. crops insured; this subtitle to geographical areas des- SEC. 8403. CABIN USER FEES. ‘‘(II) the progress of implementing the ignated under this section are not less than (a) PAYMENT OF CABIN USER FEES.—Cabin price elections required under this subpara- the amounts those geographical areas would owners shall pay an annual cabin user fee es- graph, including the rate at which additional have received under title XII of the Food Se- tablished by the Secretary in accordance price elections are adopted for organic crops; curity Act of 1985 (as in effect on the day be- with this section. ‘‘(III) the development of new insurance fore the date of enactment of this Act).’’. (b) INITIAL CABIN USER FEES.— approaches relevant to organic producers; (1) ESTABLISHMENT.—The Secretary shall and SA 2385. Mr. TESTER submitted an establish initial cabin user fees in accord- ‘‘(IV) any recommendations the Corpora- amendment intended to be proposed by ance with this subsection. tion considers appropriate to improve Fed- (2) ASSIGNMENT TO VALUE TIERS.—On com- eral crop insurance coverage for organic him to the bill S. 3240, to reauthorize pletion of the current appraisal cycle, as re- crops.’’. agricultural programs through 2017, quired by paragraph (4), the Secretary shall (b) CONFORMING AMENDMENT.—Section and for other purposes; which was or- assign each permitted lot on National Forest 522(c) of the Federal Crop Insurance Act (7 dered to lie on the table; as follows: System land to 1 of 9 tiers based on the fol- U.S.C. 1522(c)) (as amended by section 11018) On page 880, between lines 3 and 4, insert lowing considerations: is amended— the following: (A) Before assigning the lots to tiers, all (1) by striking paragraph (10); and appraised lot values shall be adjusted, or Subtitle E—Cabin Fee Act (2) by redesignating paragraphs (11) normalized, for price changes occurring after through (20) as paragraphs (10) through (19), SEC. 8401. SHORT TITLE. the appraisal, in accordance with the Na- respectively. This subtitle may be cited as the ‘‘Cabin tional Association of Homebuilders/Wells Fee Act of 2012’’. Fargo Housing Opportunity Index. SA 2383. Mr. COCHRAN submitted an SEC. 8402. DEFINITIONS. (B) Second appraisal values that are not amendment intended to be proposed by In this subtitle: rejected by the Forest Service shall super- him to the bill S. 3240, to reauthorize (1) AUTHORIZATION; AUTHORIZE.—The terms sede initial lot appraisal values for the nor- agricultural programs through 2017, ‘‘authorization’’ and ‘‘authorize’’ mean the malization and ranking process under sub- and for other purposes; which was or- issuance of a special use permit for the use paragraph (A). dered to lie on the table; as follows: and occupancy of National Forest System (C) The tiers shall be established, on a na- land by a cabin owner under the Recreation tional basis, according to relative lot value, At the appropriate place, add the fol- Residence Program. lowing: with lots having the lowest adjusted ap- (2) CABIN.—The term ‘‘cabin’’ means a pri- praised value assigned to tier 1 and lots hav- SEC. 122lll. AUTHORIZATION OF CONVEYANCE vately built and owned recreation residence OF CERTAIN LAND TO THE VICKS- ing the highest adjusted appraised value as- BURG NATIONAL MILITARY PARK. and related improvements on National For- signed to tier 9. (a) ACQUISITION OF LAND.— est System land that— (D) The number of lots (by percentage) as- (1) IN GENERAL.—The Secretary of the Inte- (A) is authorized for private use and occu- signed to each tier is contained in the table rior (referred to in this Act as the ‘‘Sec- pancy; and set forth in paragraph (3). retary’’) may acquire the land or any inter- (B) may be sold or transferred between pri- (E) Data from incomplete appraisals may ests in land within the area identified as vate parties. not be used to establish the fee tiers under ‘‘Modified Core Battlefield’’ for the Port Gib- (3) CABIN OWNER.—The term ‘‘cabin owner’’ this subsection. son Unit, the Champion Hill Unit, and the means— (F) Until assigned to a tier under this sub- Raymond Unit as generally depicted on the (A) a person authorized by the Secretary to section, the Secretary shall assess an in- map entitled ‘‘Vicksburg National Military use and to occupy a cabin; and terim fee for permitted cabin lots (including Park–Proposed Battlefield Additions’’, num- (B) a trust, heir, or assign of a person de- lots with incomplete appraisals), which shall bered 306/100986, and dated October 2010. scribed in subparagraph (A). be an amount equal to the lesser of— (2) METHODS OF ACQUISITION.—Land and in- (4) CABIN TRANSFER FEE.—The term ‘‘cabin (i) $4,500; or terests in land may be acquired under para- transfer fee’’ means a fee that is paid to the (ii) the amount of the current cabin user graph (1) by donation, purchase from a will- United States on the transfer of a cabin be- fee, increased by 25 percent. ing seller with donated or appropriated tween private parties for money or other (3) AMOUNT OF INITIAL CABIN USER FEES.— funds, or exchange, except that land owned consideration that results in the issuance of The initial cabin user fees, based on the as- by the State of Mississippi or any political a new permit. signments under paragraph (2), are as fol- subdivision of the State may be acquired (5) CABIN USER FEE.—The term ‘‘cabin user lows: only by donation. fee’’ means an annual fee paid to the United (b) AVAILABILITY OF MAP.—The map de- States by a cabin owner in accordance with Approximate scribed in subsection (a)(1) shall be on file an authorization for the use and occupancy Fee Fee Tier Percent of Per- Amount and available for public inspection in the ap- of a cabin. mits Nationally propriate offices of the National Park Serv- (6) CURRENT APPRAISAL CYCLE.—The term ice. ‘‘current appraisal cycle’’ means the comple- Tier 1 8 percent $500 (c) BOUNDARY ADJUSTMENT.—On the acqui- tion of Forest Service review and acceptance sition of land by the Secretary under this of— Tier 2 12 percent $1,000 section— (A) initial typical lot appraisals; or

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Approximate beginning after the completion of the cur- ural causes, or governmental actions, which Fee Tier Percent of Per- Fee rent appraisal cycle. results in the cabin being rendered unsafe or mits Nationally Amount (c) ANNUAL ADJUSTMENTS OF CABIN USER unable to be occupied. FEE.— (2) TERM OF REDUCED FEE.—The reduced fee Tier 3 12 percent $1,500 (1) IN GENERAL.—Subject to paragraph (2), under paragraph (1) shall be in effect until the Secretary shall use changes in the Im- the later of— Tier 4 14 percent $2,000 plicit Price Deflator for the Gross Domestic (A) the last day of the year in which the Product published by the Bureau of Eco- destruction or impairment occurs; or Tier 5 14 percent $2,500 nomic Analysis of the Department of Com- (B) the date on which the cabin may be merce, applied on a 5-year rolling average, to lawfully reoccupied and normal access has Tier 6 14 percent $3,000 assess an annual adjustment to cabin user been restored. fees. IMITATIONS.—Notwithstanding para- SEC. 8404. CABIN TRANSFER FEES. Tier 7 11 percent $3,500 (2) L graph (1), cabin user fees established under (a) PAYMENT OF CABIN TRANSFER FEES.—In this section shall be increased by not more Tier 8 8 percent $4,000 conjunction with the transfer of ownership than 25 percent in an annual adjustment of any cabin and the issuance of a new per- under paragraph (a). mit, the cabin owner transferring the cabin Tier 9 7 percent $4,500. (d) EFFECT OF DESTRUCTION, SUBSTANTIAL shall file with the Secretary a sworn state- DAMAGE, OR LOSS OF ACCESS.— ment declaring the amount of money or (4) DEADLINE FOR COMPLETION OF CURRENT (1) IN GENERAL.—The Secretary shall re- other value received, if any, for the transfer APPRAISAL CYCLE.—Not later than 3 years duce the cabin user fee to $100 per year for a of the cabin. after the date of enactment of this Act, the cabin if— Secretary shall complete the current ap- (A) the cabin is destroyed or suffers sub- (b) AMOUNT.—As a condition of the praisal cycle. stantial damage in an amount that is greater issuance by the Secretary of a new author- (5) EFFECTIVE DATE.—The initial cabin user than 50 percent of replacement cost of the ization for the use and occupancy of the fees required by this subsection shall take ef- cabin; or cabin, the cabin owner transferring the cabin fect beginning with the first calendar year (B) access to the cabin is significantly im- shall pay to the Secretary a cabin transfer paired, whether by catastrophic events, nat- fee in an amount determined as follows:

Consideration Received by Transfer Transfer Fee Amount

$0 to $250,000 $1,000

$250,000.01 to $500,000.00 $1,000 plus 5 percent of consideration in excess of $250,000 up to $500,000

$500,000.01 and above $1,000 plus 5 percent of consideration in excess of $250,000 up to $500,000 plus 10 percent of consideration in excess of $500,000.

(c) INDEX.—The Secretary shall use 1303(d) of the Alaska National Interest Lands and percent of total purchases of commod- changes in the Implicit Price Deflator for Conservation Act (16 U.S.C. 3193(d)). ities and products that are procured by the the Gross Domestic Product published by the SEC. 8407. REGULATIONS. Department of Defense and provided to Bureau of Economic Analysis of the Depart- Not later than December 31, 2012, the Sec- schools and service institutions locally and ment of Commerce, applied on a 5-year roll- retary shall issue regulations to carry out regionally. ing average, to determine and apply an an- this subtitle. ‘‘(4) DEPARTMENT OF DEFENSE PROGRAM OP- nual adjustment to the cabin transfer fee ERATION.—A school or service institution de- threshold amounts set forth in the table con- SA 2386. Mr. SANDERS (for himself scribed in paragraph (1) may carry out this tained in subsection (b). and Mr. LEAHY) submitted an amend- section by— SEC. 8405. RIGHT OF APPEAL AND JUDICIAL RE- ment intended to be proposed by him ‘‘(A) electing to participate in the fresh VIEW. to the bill S. 3240, to reauthorize agri- fruit and vegetable program of the Depart- (a) RIGHT OF APPEAL.— cultural programs through 2017, and for ment of Defense; (1) IN GENERAL.—Notwithstanding any ac- other purposes; which was ordered to ‘‘(B) under such terms and conditions as the Secretary shall establish, purchasing un- tion of a cabin owner to exercise rights in ac- lie on the table; as follows: cordance with section 8406, the Secretary processed or minimally processed locally and On page 361, between lines 8 and 9, insert shall by regulation grant to the cabin owner regionally produced fruits and vegetables the following: the right to an administrative appeal of the with amounts that would have been used by determination of a new cabin user fee, fee SEC. 4208. DEPARTMENT OF DEFENSE FRESH the school or service institution to partici- PROGRAM. tier, cabin transfer fee, or whether or not to pate in the fresh fruit and vegetable program Section 10603(b) of the Farm Security and reduce a cabin user fee under section 8403(d). of the Department of Defense; or Rural Investment Act of 2002 (7 U.S.C. 612c– (2) APPLICABLE LAW.—An appeal under ‘‘(C) carrying out a combination of the ac- 4(b)) (as amended by section 4201) is amend- paragraph (1) shall be pursuant to the appeal tivities described in subparagraphs (A) and ed— process provided under subpart C of part 251 (B). (1) by striking ‘‘The Secretary’’ and insert- of title 36, Code of Federal Regulations (or a ‘‘(5) REPORT TO CONGRESS.—The Secretary ing the following: successor regulation). shall submit to the Committee on Agri- ‘‘(1) IN GENERAL.—The Secretary’’; and culture of the House of Representatives and (b) JUDICIAL REVIEW.— (2) by adding at the end the following: (1) IN GENERAL.—A cabin owner that con- the Committee on Agriculture, Nutrition, ‘‘(2) LOCAL AND REGIONAL PURCHASE.—In and Forestry of the Senate a report con- tests a final decision of the Secretary under purchasing fresh fruits and vegetables under this subtitle may bring a civil action in taining— paragraph (1), the Secretary shall, to the ‘‘(A) the information and report described United States district court. maximum extent practicable, provide locally (2) VENUE.—The venue for an action in paragraph (3); and and regionally grown produce to schools and ‘‘(B) annual information on the number of brought before the United States district service institutions. court under this subsection shall be in the schools and service institutions described in ‘‘(3) DATA TRACKING.—The Secretary of Ag- paragraph (4).’’. Federal judicial district in which the cabin riculture, in conjunction with the Secretary is located or the permit holder resides. of Defense in carrying out the fresh fruit and (3) EFFECT ON MEDIATION.—Nothing in this vegetable program of the Department of De- SA 2387. Mr. BOOZMAN submitted an subtitle precludes a person from seeking me- fense, shall— amendment intended to be proposed by diation for an action under this subtitle. ‘‘(A) track annual data on— him to the bill S. 3240, to reauthorize SEC. 8406. EFFECT. ‘‘(i) each State and county from which agricultural programs through 2017, (a) IN GENERAL.—Nothing in this subtitle fresh fruits and vegetables are purchased; and for other purposes; which was or- limits or restricts any right, title, or inter- and dered to lie on the table; as follows: est of the United States in or to any land or ‘‘(ii) each State and county in which is lo- resource. cated a school or service institution to which In section 9007(a)(1)— (b) SPECIAL RULE FOR ALASKA.—In deter- the purchased commodities and products are (1) redesignate subparagraphs (A) and (B) mining a cabin user fee in the State of Alas- distributed; and as subparagraphs (B) and (C), respectively; ka, the Secretary shall not establish or im- ‘‘(B) prepare an annual report that de- and pose a cabin user fee or a condition affecting scribes the volume, types of fruits and vege- (2) before subparagraph (B) (as so redesig- a cabin user fee that is inconsistent with tables, purchase price, minimal processing, nated), insert the following:

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(A) in subsection (a), by inserting ‘‘(other (B) MAXIMUM.—Except as provided in (C), the yield determined by the average indi- than to construct, fund, install, or operate the total quantity of eligible acres on a farm vidual yield of the producer described in sub- an ethanol blender pump)’’ after ‘‘busi- determined under subparagraph (A) shall not section (c) of that section. nesses’’; exceed the average total acres planted or (10) MEDIUM GRAIN RICE.—The term ‘‘me- prevented from being planted to covered dium grain rice’’ includes short grain rice. SA 2388. Mr. WYDEN submitted an commodities and upland cotton on the farm (11) MIDSEASON PRICE.—The term amendment intended to be proposed by for the 2009 through 2012 crop years, as deter- ‘‘midseason price’’ means the applicable na- him to the bill S. 3240, to reauthorize mined by the Secretary. tional average market price received by pro- agricultural programs through 2017, (C) ADJUSTMENT.—The Secretary shall pro- ducers for the first 5 months of the applica- and for other purposes; which was or- vide for an adjustment, as appropriate, in ble marketing year, as determined by the the eligible acres for covered commodities Secretary. dered to lie on the table; as follows: for a farm if any of the following cir- (12) OTHER OILSEED.—The term ‘‘other oil- On page 360, after line 24, add the fol- cumstances occurs: seed’’ means a crop of sunflower seed, lowing: (i) If a conservation reserve contract for a rapeseed, canola, safflower, flaxseed, mus- SEC. 4207. PURCHASES OF LOCALLY PRODUCED farm in a county entered into under section tard seed, crambe, sesame seed, or any oil- FOODS. 1231 of the Food Security Act of 1985 (16 seed designated by the Secretary. Section 9(j) of the Richard B. Russell Na- U.S.C. 3831) expires or is voluntarily termi- (13) PRODUCER.— tional School Lunch Act (42 U.S.C. 1758(j)) is nated or cropland is released from coverage (A) IN GENERAL.—The term ‘‘producer’’ amended— under a conservation reserve contract, the means an owner, operator, landlord, tenant, (1) by redesignating paragraphs (1) through Secretary shall provide for an adjustment, as or sharecropper that shares in the risk of (3) as subparagraphs (A) through (C), respec- appropriate, in the eligible acres for the producing a crop and is entitled to share in tively, and indenting the subparagraphs ap- farm to a total quantity that is the higher the crop available for marketing from the propriately; of— farm, or would have shared had the crop been (2) by striking ‘‘The Secretary’’ and insert- (I) the total base acreage for the farm, less produced. ing the following: any upland cotton base acreage, that was (B) HYBRID SEED.—In determining whether ‘‘(1) IN GENERAL.—The Secretary’’; suspended during the conservation reserve a grower of hybrid seed is a producer, the (3) in paragraph (1) (as so redesignated)— contract; or Secretary shall— (A) in subparagraph (B)— (II) the product obtained by multiplying— (i) not take into consideration the exist- (i) by striking ‘‘paragraph (1) of the policy (aa) the average proportion that— ence of a hybrid seed contract; and described in that paragraph and paragraph (AA) the total number of acres planted to (ii) ensure that program requirements do (3)’’ and inserting ‘‘subparagraph (A) of the covered commodities and upland cotton in not adversely affect the ability of the grower policy described in that subparagraph and the county for crop years 2009 through 2012; to receive a payment under this title. subparagraph (C)’’; and bears to (14) PULSE CROP.—The term ‘‘pulse crop’’ (ii) by striking ‘‘and’’ at the end; (BB) the total number of all acres of cov- means dry peas, lentils, small chickpeas, and (B) in subparagraph (C), by striking the pe- ered commodities, grassland, and upland cot- large chickpeas. riod at the end and inserting ‘‘; and’’; and ton acres in the county for the same crop (15) STATE.—The term ‘‘State’’ means— (C) by adding at the end the following: years; by (A) a State; ‘‘(D) not later than 1 year after the date of (bb) the total acres for which coverage has (B) the District of Columbia; enactment of this subparagraph, in accord- expired, voluntarily terminated, or been re- (C) the Commonwealth of Puerto Rico; and ance with paragraphs (2) and (3), conduct not leased under the conservation reserve con- (D) any other territory or possession of the fewer than 5 demonstration projects through tract. United States. school food authorities receiving funds under (ii) The producer has eligible oilseed acre- (16) TRANSITIONAL YIELD.—The term ‘‘tran- this Act and the Child Nutrition Act of 1966 age as the result of the Secretary desig- sitional yield’’ has the meaning given the (42 U.S.C. 1771 et seq.) to facilitate the pur- nating additional oilseeds, which shall be de- term in section 502(b) of the Federal Crop In- chase of unprocessed and minimally proc- termined in the same manner as eligible oil- surance Act (7 U.S.C. 1502(b)). essed locally grown and locally raised agri- seed acreage under section 1101(a)(1)(D) of (17) UNITED STATES.—The term ‘‘United cultural products.’’; and the Food, Conservation, and Energy Act of States’’, when used in a geographical sense, (4) by adding at the end the following: 2008 (7 U.S.C. 8711(a)(1)(D)). means all of the States. ‘‘(2) SELECTION.—In conducting demonstra- (iii) The producer has any acreage not (18) UNITED STATES PREMIUM FACTOR.—The tion projects under paragraph (1)(D), the Sec- cropped during the 2009 through 2012 crop term ‘‘United States Premium Factor’’ retary shall ensure that at least 1 project is years, but placed into an established rota- means the percentage by which the dif- located in a State in each of— tion practice for the purposes of enriching ference in the United States loan schedule ‘‘(A) the Pacific Northwest Region; land or conserving moisture for subsequent premiums for Strict Middling (SM) 11⁄8-inch ‘‘(B) the Northeast Region; crop years, including summer fallow, as de- upland cotton and for Middling (M) 13⁄32-inch ‘‘(C) the Western Region; termined by the Secretary. upland cotton exceeds the difference in the ‘‘(D) the Midwest Region; and (D) EXCLUSION.—The term ‘‘eligible acres’’ applicable premiums for comparable inter- ‘‘(E) the Southern Region. does not include any crop subsequently national qualities. ‘‘(3) PRIORITY.—In selecting States for par- planted during the same crop year on the SEC. 1105. AGRICULTURE RISK COVERAGE. ticipation in the demonstration projects same land for which the first crop is eligible (a) PAYMENTS REQUIRED.—If the Secretary under paragraph (2), the Secretary shall for payments under this subtitle, unless the determines that payments are required prioritize applications based on— crop was planted in an area approved for under subsection (c), the Secretary shall ‘‘(A) the quantity and variety of growers of double cropping, as determined by the Sec- make payments for each covered commodity local fruits and vegetables in the State; retary. available to producers in accordance with ‘‘(B) the demonstrated commitment of the (8) EXTRA LONG STAPLE COTTON.—The term this section. State to farm-to-school efforts, as evidenced ‘‘extra long staple cotton’’ means cotton (b) COVERAGE ELECTION.— by prior efforts to increase and promote that— (1) IN GENERAL.—For the period of crop farm-to- school programs in the State; and (A) is produced from pure strain varieties years 2013 through 2017, the producers shall ‘‘(C) whether the State contains a suffi- of the Barbadense species or any hybrid of make a 1-time, irrevocable election to re- cient quantity of school districts of varying the species, or other similar types of extra ceive— population sizes and geographical loca- long staple cotton, designated by the Sec- (A) individual coverage under this section, tions.’’. retary, having characteristics needed for as determined by the Secretary; or various end uses for which United States up- (B) in the case of a county with sufficient SA 2389. Mr. REID (for Ms. STABENOW land cotton is not suitable and grown in irri- data (as determined by the Secretary), coun- (for herself and Mr. ROBERTS)) proposed gated cotton-growing regions of the United ty coverage under this section. an amendment to the bill S. 3240, to re- States designated by the Secretary or other (2) EFFECT OF ELECTION.—The election areas designated by the Secretary as suitable made under paragraph (1) shall be binding on authorize agricultural programs for the production of the varieties or types; the producers making the election, regard- through 2017, and for other purposes; as and less of covered commodities planted, and ap- follows: (B) is ginned on a roller-type gin or, if au- plicable to all acres under the operational Beginning on page 14, strike line 10 and all thorized by the Secretary, ginned on another control of the producers, in a manner that— that follows through page 1000, line 2, and in- type gin for experimental purposes. (A) acres brought under the operational sert the following: (9) INDIVIDUAL COVERAGE.—For purposes of control of the producers after the election (7) ELIGIBLE ACRES.— agriculture risk coverage under section 1105, are included; and (A) IN GENERAL.—Except as provided in the term ‘‘individual coverage’’ means cov- (B) acres no longer under the operational subparagraphs (B) through (D), the term ‘‘el- erage determined using the total quantity of control of the producers after the election igible acres’’ means all acres planted or pre- all acreage in a county of the covered com- are no longer subject to the election of the vented from being planted to all covered modity that is planted or prevented from producers but become subject to the election commodities on a farm in any crop year. being planted for harvest by a producer with of the subsequent producers.

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(3) DUTIES OF THE SECRETARY.—The Sec- (II) For medium grain rice, $13.00 per hun- (D) to effectively control noxious weeds retary shall ensure that producers are pre- dredweight. and otherwise maintain the land in accord- cluded from taking any action, including re- (III) For peanuts, $530.00 per ton. ance with sound agricultural practices, as constitution, transfer, or other similar ac- (5) PAYMENT RATE.—The payment rate for determined by the Secretary, if the agricul- tion, that would have the effect of altering each covered commodity shall be equal to tural or conserving use involves the noncul- or reversing the election made under para- the lesser of— tivation of any portion of the land referred graph (1). (A) the amount that— to in subparagraph (C). (c) AGRICULTURE RISK COVERAGE.— (i) the agriculture risk coverage guarantee (2) COMPLIANCE.—The Secretary may issue (1) PAYMENTS.—The Secretary shall make for the covered commodity; exceeds such rules as the Secretary considers nec- agriculture risk coverage payments avail- (ii) the actual crop revenue for the crop essary to ensure producer compliance with able under this subsection for each of the year of the covered commodity; or the requirements of paragraph (1). 2013 through 2017 crop years if the Secretary (B) 10 percent of the benchmark revenue (3) MODIFICATION.—At the request of the determines that— for the crop year of the covered commodity. transferee or owner, the Secretary may mod- (A) the actual crop revenue for the crop (6) PAYMENT AMOUNT.—If agriculture risk ify the requirements of this subsection if the year for the covered commodity; is less than coverage payments under this subsection are modifications are consistent with the objec- (B) the agriculture risk coverage guarantee required to be paid for any of the 2013 tives of this subsection, as determined by the through 2017 crop years of a covered com- Secretary. for the crop year for the covered commodity. modity, the amount of the agriculture risk (b) TRANSFER OR CHANGE OF INTEREST IN (2) TIME FOR PAYMENTS.—If the Secretary coverage payment for the crop year shall be FARM.— determines under this subsection that agri- equal to the product obtained by multi- (1) TERMINATION.— culture risk coverage payments are required plying— (A) IN GENERAL.—Except as provided in to be made for the covered commodity, the (A) the payment rate under paragraph (5); paragraph (2), a transfer of (or change in) the agriculture risk coverage payments shall be and interest of the producers on a farm for which made as soon as practicable thereafter. (B)(i) in the case of individual coverage the agriculture risk coverage payments are (3) ACTUAL CROP REVENUE.—The amount of sum of— made shall result in the termination of the the actual crop revenue for a crop year of a (I) 65 percent of the planted eligible acres agriculture risk coverage payments, unless covered commodity shall be equal to the of the covered commodity; and the transferee or owner of the acreage agrees product obtained by multiplying— (II) 45 percent of the eligible acres that to assume all obligations under subsection (A)(i) in the case of individual coverage, were prevented from being planted to the (a). the actual average individual yield for the covered commodity; or (B) EFFECTIVE DATE.—The termination covered commodity, as determined by the (ii) in the case of county coverage— shall take effect on the date determined by Secretary; or (I) 80 percent of the planted eligible acres the Secretary. (ii) in the case of county coverage, the ac- of the covered commodity; and (2) EXCEPTION.—If a producer entitled to an tual average yield for the county for the cov- (II) 45 percent of the eligible acres that agriculture risk coverage payment dies, be- ered commodity, as determined by the Sec- were prevented from being planted to the comes incompetent, or is otherwise unable to retary; and covered commodity. receive the payment, the Secretary shall (B) the higher of— (7) DUTIES OF THE SECRETARY.—In carrying make the payment, in accordance with rules (i) the midseason price; or out the program under this subsection, the issued by the Secretary. (ii) if applicable, the national marketing Secretary shall— (c) REPORTS.— assistance loan rate for the covered com- (A) to the maximum extent practicable, (1) ACREAGE REPORTS.—As a condition on modity under subtitle B. use all available information and analysis to the receipt of any benefits under this sub- (4) AGRICULTURE RISK COVERAGE GUAR- check for anomalies in the determination of title or subtitle B, the Secretary shall re- ANTEE.— payments under the program; quire producers on a farm to submit to the (A) IN GENERAL.—The agriculture risk cov- (B) to the maximum extent practicable, Secretary annual acreage reports with re- erage guarantee for a crop year for a covered calculate a separate actual crop revenue and spect to all cropland on the farm. commodity shall equal 89 percent of the agriculture risk coverage guarantee for irri- (2) PRODUCTION REPORTS.—As a condition benchmark revenue. gated and nonirrigated covered commodities; on the receipt of any benefits under section (B) BENCHMARK REVENUE.— (C) differentiate by type or class the na- 1105, the Secretary shall require producers (i) IN GENERAL.—The benchmark revenue tional average price of— on a farm to submit to the Secretary annual shall be the product obtained by multi- (i) sunflower seeds; production reports with respect to all cov- plying— (ii) barley, using malting barley values; ered commodities produced on the farm. (I)(aa) in the case of individual coverage, and (3) PENALTIES.—No penalty with respect to subject to clause (ii), the average individual (iii) wheat; and benefits under this subtitle or subtitle B yield, as determined by the Secretary, for (D) assign a yield for each acre planted or shall be assessed against the producers on a the most recent 5 crop years, excluding each prevented from being planted for the crop farm for an inaccurate acreage or production of the crop years with the highest and lowest year for the covered commodity on the basis report unless the producers on the farm yields; or of the yield history of representative farms knowingly and willfully falsified the acreage (bb) in the case of county coverage, the av- in the State, region, or crop reporting dis- or production report. erage county yield, as determined by the trict, as determined by the Secretary, if the (4) DATA REPORTING.—To the maximum ex- Secretary, for the most recent 5 crop years, Secretary cannot establish the yield as de- tent practicable, the Secretary shall use excluding each of the crop years with the termined under paragraph (3)(A)(ii) or data reported by the producer pursuant to highest and lowest yields; and (4)(B)(i) or if the yield determined under requirements under the Federal Crop Insur- (II) subject to clause (iii), the average na- paragraph (3)(A)(ii) or (4) is an unrepresenta- ance Act (7 U.S.C. 1501 et seq.) to meet the tional marketing year average price for the tive average yield for the covered com- obligations described in paragraphs (1) and most recent 5 crop years, excluding each of modity as determined by the Secretary. (2), without additional submissions to the the crop years with the highest and lowest SEC. 1106. PRODUCER AGREEMENT REQUIRED AS Department. prices. CONDITION OF PROVISION OF PAY- (d) TENANTS AND SHARECROPPERS.—In car- (ii) USE OF TRANSITIONAL YIELDS.—If the MENTS. rying out this subtitle, the Secretary shall yield determined under clause (i)(I)(aa)— (a) COMPLIANCE WITH CERTAIN REQUIRE- provide adequate safeguards to protect the (I) for the 2012 crop year or any prior crop MENTS.— interests of tenants and sharecroppers. year, is less than 60 percent of the applicable (1) REQUIREMENTS.—Before the producers SEC. 1107. PERIOD OF EFFECTIVENESS. transitional yield, the Secretary shall use 60 on a farm may receive agriculture risk cov- Sections 1104 through 1106 shall be effec- percent of the applicable transitional yield erage payments, the producers shall agree, tive beginning with the 2013 crop year of for that crop year; and during the crop year for which the payments each covered commodity through the 2017 (II) for the 2013 crop year and any subse- are made and in exchange for the payments— crop year. quent crop year, is less than 70 percent of the (A) to comply with applicable conservation Subtitle B—Marketing Assistance Loans and applicable transitional yield, the Secretary requirements under subtitle B of title XII of Loan Deficiency Payments shall use 70 percent of the applicable transi- the Food Security Act of 1985 (16 U.S.C. 3811 SEC. 1201. AVAILABILITY OF NONRECOURSE MAR- tional yield for that crop year. et seq.); KETING ASSISTANCE LOANS FOR (iii) SPECIAL RULE FOR RICE AND PEANUTS.— (B) to comply with applicable wetland pro- LOAN COMMODITIES. If the national marketing year average price tection requirements under subtitle C of (a) DEFINITION OF LOAN COMMODITY.—In under clause (i)(II) for any of the applicable title XII of that Act (16 U.S.C. 3821 et seq.); this subtitle, the term ‘‘loan commodity’’ crop years is lower than the price for the (C) to use the land on the farm for an agri- means wheat, corn, grain sorghum, barley, covered commodity listed below, the Sec- cultural or conserving use in a quantity oats, upland cotton, extra long staple cotton, retary shall use the following price for that equal to the attributable eligible acres of the long grain rice, medium grain rice, peanuts, crop year: farm, and not for a nonagricultural commer- soybeans, other oilseeds, graded wool, non- (I) For long grain rice, $13.00 per hundred- cial, industrial, or residential use, as deter- graded wool, mohair, honey, dry peas, len- weight. mined by the Secretary; and tils, small chickpeas, and large chickpeas.

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(b) NONRECOURSE LOANS AVAILABLE.— the peanuts are placed under loan, as deter- of other oilseeds described in subsection (1) IN GENERAL.—For each of the 2013 mined by the Secretary. (a)(11). through 2017 crops of each loan commodity, (B) REDEMPTION AND FORFEITURE.—The SEC. 1203. TERM OF LOANS. the Secretary shall make available to pro- Secretary shall— (a) TERM OF LOAN.—In the case of each ducers on a farm nonrecourse marketing as- (i) require the repayment of handling and loan commodity, a marketing assistance sistance loans for loan commodities pro- other associated costs paid under subpara- loan under section 1201 shall have a term of duced on the farm. graph (A) for all peanuts pledged as collat- 9 months beginning on the first day of the (2) TERMS AND CONDITIONS.—The marketing eral for a loan that is redeemed under this first month after the month in which the assistance loans shall be made under terms section; and loan is made. and conditions that are prescribed by the (ii) pay storage, handling, and other associ- (b) EXTENSIONS PROHIBITED.—The Sec- Secretary and at the loan rate established ated costs for all peanuts pledged as collat- retary may not extend the term of a mar- under section 1202 for the loan commodity. eral that are forfeited under this section. keting assistance loan for any loan com- (c) ELIGIBLE PRODUCTION.—The producers (5) MARKETING.—A marketing association modity. on a farm shall be eligible for a marketing or cooperative may market peanuts for SEC. 1204. REPAYMENT OF LOANS. assistance loan under subsection (b) for any which a loan is made under this section in (a) GENERAL RULE.—The Secretary shall quantity of a loan commodity produced on any manner that conforms to consumer permit the producers on a farm to repay a the farm. needs, including the separation of peanuts by marketing assistance loan under section 1201 (d) COMPLIANCE WITH CONSERVATION AND type and quality. for a loan commodity (other than upland WETLANDS REQUIREMENTS.— (6) REIMBURSABLE AGREEMENTS AND PAY- cotton, long grain rice, medium grain rice, (1) REQUIREMENTS.—Before the producers MENT OF ADMINISTRATIVE EXPENSES.—The extra long staple cotton, peanuts and confec- on a farm may receive a marketing assist- Secretary may implement any reimbursable tionery and each other kind of sunflower ance loan or any other payment or benefit agreements or provide for the payment of ad- seed (other than oil sunflower seed)) at a under this subtitle, the producers shall ministrative expenses under this subsection rate that is the lesser of— agree, for the crop year for which the pay- only in a manner that is consistent with (1) the loan rate established for the com- ments are made and in exchange for the pay- modity under section 1202, plus interest (de- those activities in regard to other loan com- ments— termined in accordance with section 163 of modities. (A) to comply with applicable conservation the Federal Agriculture Improvement and requirements under subtitle B of title XII of SEC. 1202. LOAN RATES FOR NONRECOURSE MAR- Reform Act of 1996 (7 U.S.C. 7283)); the Food Security Act of 1985 (16 U.S.C. 3811 KETING ASSISTANCE LOANS. (2) a rate (as determined by the Secretary) et seq.); (a) IN GENERAL.—For purposes of each of that— (B) to comply with applicable wetland pro- the 2013 through 2017 crop years, the loan (A) is calculated based on average market tection requirements under subtitle C of rate for a marketing assistance loan under prices for the loan commodity during the title XII of that Act (16 U.S.C. 3821 et seq.); section 1201 for a loan commodity shall be preceding 30-day period; and (C) to use the land on the farm for an agri- equal to the following: (B) will minimize discrepancies in mar- cultural or conserving use in a quantity (1) In the case of wheat, $2.94 per bushel. keting loan benefits across State boundaries equal to the attributable eligible acres of the (2) In the case of corn, $1.95 per bushel. and across county boundaries; or farm, and not for a nonagricultural commer- (3) In the case of grain sorghum, $1.95 per (3) a rate that the Secretary may develop cial, industrial, or residential use, as deter- bushel. using alternative methods for calculating a mined by the Secretary; and (4) In the case of barley, $1.95 per bushel. repayment rate for a loan commodity that (D) to effectively control noxious weeds (5) In the case of oats, $1.39 per bushel. the Secretary determines will— and otherwise maintain the land in accord- (6) In the case of base quality of upland (A) minimize potential loan forfeitures; ance with sound agricultural practices, as cotton, for the 2013 and each subsequent crop (B) minimize the accumulation of stocks of determined by the Secretary, if the agricul- year, the simple average of the adjusted pre- the commodity by the Federal Government; tural or conserving use involves the noncul- vailing world price for the 2 immediately (C) minimize the cost incurred by the Fed- tivation of any portion of the land referred preceding marketing years, as determined by eral Government in storing the commodity; to in subparagraph (C). the Secretary and announced October 1 pre- (D) allow the commodity produced in the (2) COMPLIANCE.—The Secretary may issue ceding the next domestic plantings, but in no United States to be marketed freely and such rules as the Secretary considers nec- case less than $0.47 per pound or more than competitively, both domestically and inter- essary to ensure producer compliance with $0.52 per pound. nationally; and paragraph (1). (7) In the case of extra long staple cotton, (E) minimize discrepancies in marketing (3) MODIFICATION.—At the request of a $0.7977 per pound. loan benefits across State boundaries and transferee or owner, the Secretary may mod- (8) In the case of long grain rice, $6.50 per across county boundaries. ify the requirements of this subsection if the hundredweight. (b) REPAYMENT RATES FOR UPLAND COTTON, modifications are consistent with the pur- (9) In the case of medium grain rice, $6.50 LONG GRAIN RICE, AND MEDIUM GRAIN RICE.— poses of this subsection, as determined by per hundredweight. The Secretary shall permit producers to the Secretary. (10) In the case of soybeans, $5.00 per bush- repay a marketing assistance loan under sec- (e) SPECIAL RULES FOR PEANUTS.— el. tion 1201 for upland cotton, long grain rice, (1) IN GENERAL.—This subsection shall (11) In the case of other oilseeds, $10.09 per and medium grain rice at a rate that is the apply only to producers of peanuts. hundredweight for each of the following lesser of— (2) OPTIONS FOR OBTAINING LOAN.—A mar- kinds of oilseeds: (1) the loan rate established for the com- keting assistance loan under this section, (A) Sunflower seed. modity under section 1202, plus interest (de- and loan deficiency payments under section (B) Rapeseed. termined in accordance with section 163 of 1205, may be obtained at the option of the (C) Canola. the Federal Agriculture Improvement and producers on a farm through— (D) Safflower. Reform Act of 1996 (7 U.S.C. 7283)); or (A) a designated marketing association or (E) Flaxseed. (2) the prevailing world market price for marketing cooperative of producers that is (F) Mustard seed. the commodity, as determined and adjusted approved by the Secretary; or (G) Crambe. by the Secretary in accordance with this sec- (B) the Farm Service Agency. (H) Sesame seed. tion. (c) REPAYMENT RATES FOR EXTRA LONG (3) STORAGE OF LOAN PEANUTS.—As a condi- (I) Other oilseeds designated by the Sec- STAPLE COTTON.—Repayment of a marketing tion on the approval by the Secretary of an retary. assistance loan for extra long staple cotton (12) In the case of dry peas, $5.40 per hun- individual or entity to provide storage for shall be at the loan rate established for the peanuts for which a marketing assistance dredweight. commodity under section 1202, plus interest loan is made under this section, the indi- (13) In the case of lentils, $11.28 per hun- (determined in accordance with section 163 of vidual or entity shall agree— dredweight. the Federal Agriculture Improvement and (A) to provide the storage on a nondiscrim- (14) In the case of small chickpeas, $7.43 per Reform Act of 1996 (7 U.S.C. 7283)). inatory basis; and hundredweight. (d) PREVAILING WORLD MARKET PRICE.—For (B) to comply with such additional require- (15) In the case of large chickpeas, $11.28 purposes of this section and section 1207, the ments as the Secretary considers appropriate per hundredweight. Secretary shall prescribe by regulation— to accomplish the purposes of this section (16) In the case of graded wool, $1.15 per (1) a formula to determine the prevailing and promote fairness in the administration pound. world market price for each of upland cot- of the benefits of this section. (17) In the case of nongraded wool, $0.40 per ton, long grain rice, and medium grain rice; (4) STORAGE, HANDLING, AND ASSOCIATED pound. and COSTS.— (18) In the case of mohair, $4.20 per pound. (2) a mechanism by which the Secretary (A) IN GENERAL.—To ensure proper storage (19) In the case of honey, $0.69 per pound. shall announce periodically those prevailing of peanuts for which a loan is made under (20) In the case of peanuts, $355 per ton. world market prices. this section, the Secretary shall pay han- (b) SINGLE COUNTY LOAN RATE FOR OTHER (e) ADJUSTMENT OF PREVAILING WORLD dling and other associated costs (other than OILSEEDS.—The Secretary shall establish a MARKET PRICE FOR UPLAND COTTON, LONG storage costs) incurred at the time at which single loan rate in each county for each kind GRAIN RICE, AND MEDIUM GRAIN RICE.—

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(1) RICE.—The prevailing world market tively, both domestically and internation- producers on a farm with respect to a quan- price for long grain rice and medium grain ally. tity of a loan commodity or commodity re- rice determined under subsection (d) shall be (i) AUTHORITY TO TEMPORARILY ADJUST RE- ferred to in subsection (a)(2) using the pay- adjusted to United States quality and loca- PAYMENT RATES.— ment rate in effect under subsection (c) as of tion. (1) ADJUSTMENT AUTHORITY.—In the event the date the producers request the payment. (2) COTTON.—The prevailing world market of a severe disruption to marketing, trans- SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFI- price for upland cotton determined under portation, or related infrastructure, the Sec- CIENCY PAYMENTS FOR GRAZED subsection (d)— retary may modify the repayment rate oth- ACREAGE. (A) shall be adjusted to United States qual- erwise applicable under this section for mar- (a) ELIGIBLE PRODUCERS.— ity and location, with the adjustment to in- keting assistance loans under section 1201 for (1) IN GENERAL.—Effective for the 2013 clude— a loan commodity. through 2017 crop years, in the case of a pro- (i) a reduction equal to any United States (2) DURATION.—Any adjustment made ducer that would be eligible for a loan defi- Premium Factor for upland cotton of a qual- under paragraph (1) in the repayment rate ciency payment under section 1205 for wheat, ity higher than Middling (M) 13⁄32-inch; and for marketing assistance loans for a loan barley, or oats, but that elects to use acre- (ii) the average costs to market the com- commodity shall be in effect on a short-term age planted to the wheat, barley, or oats for modity, including average transportation and temporary basis, as determined by the the grazing of livestock, the Secretary shall costs, as determined by the Secretary; and Secretary. make a payment to the producer under this (B) may be further adjusted, during the pe- SEC. 1205. LOAN DEFICIENCY PAYMENTS. section if the producer enters into an agree- riod beginning on the date of enactment of (a) AVAILABILITY OF LOAN DEFICIENCY PAY- ment with the Secretary to forgo any other this Act and ending on July 31, 2018, if the MENTS.— harvesting of the wheat, barley, or oats on Secretary determines the adjustment is nec- (1) IN GENERAL.—Except as provided in sub- that acreage. essary— section (d), the Secretary may make loan de- (2) GRAZING OF TRITICALE ACREAGE.—Effec- (i) to minimize potential loan forfeitures; ficiency payments available to producers on tive for the 2013 through 2017 crop years, (ii) to minimize the accumulation of a farm that, although eligible to obtain a with respect to a producer on a farm that stocks of upland cotton by the Federal Gov- marketing assistance loan under section 1201 uses acreage planted to triticale for the graz- ernment; with respect to a loan commodity, agree to ing of livestock, the Secretary shall make a (iii) to ensure that upland cotton produced forgo obtaining the loan for the commodity payment to the producer under this section in the United States can be marketed freely in return for loan deficiency payments under if the producer enters into an agreement and competitively, both domestically and this section. with the Secretary to forgo any other har- internationally; and (2) UNSHORN PELTS, HAY, AND SILAGE.— vesting of triticale on that acreage. (iv) to ensure an appropriate transition be- (A) MARKETING ASSISTANCE LOANS.—Sub- (b) PAYMENT AMOUNT.— tween current-crop and forward-crop price ject to subparagraph (B), nongraded wool in (1) IN GENERAL.—The amount of a payment quotations, except that the Secretary may the form of unshorn pelts and hay and silage made under this section to a producer on a use forward-crop price quotations prior to derived from a loan commodity are not eligi- farm described in subsection (a)(1) shall be July 31 of a marketing year only if— ble for a marketing assistance loan under equal to the amount determined by multi- (I) there are insufficient current-crop price section 1201. plying— quotations; and (B) LOAN DEFICIENCY PAYMENT.—Effective (A) the loan deficiency payment rate deter- (II) the forward-crop price quotation is the for the 2013 through 2017 crop years, the Sec- mined under section 1205(c) in effect, as of lowest such quotation available. retary may make loan deficiency payments the date of the agreement, for the county in (3) GUIDELINES FOR ADDITIONAL ADJUST- available under this section to producers on which the farm is located; by MENTS.—In making adjustments under this a farm that produce unshorn pelts or hay and (B) the payment quantity determined by subsection, the Secretary shall establish a silage derived from a loan commodity. multiplying— mechanism for determining and announcing (b) COMPUTATION.—A loan deficiency pay- (i) the quantity of the grazed acreage on the adjustments in order to avoid undue dis- ment for a loan commodity or commodity the farm with respect to which the producer ruption in the United States market. referred to in subsection (a)(2) shall be equal elects to forgo harvesting of wheat, barley, (f) REPAYMENT RATES FOR CONFECTIONERY to the product obtained by multiplying— or oats; and AND OTHER KINDS OF SUNFLOWER SEEDS.—The (1) the payment rate determined under sub- (ii)(I) the yield in effect for the calculation Secretary shall permit the producers on a section (c) for the commodity; by of agriculture risk coverage payments under farm to repay a marketing assistance loan (2) the quantity of the commodity pro- subtitle A with respect to that loan com- under section 1201 for confectionery and each duced by the eligible producers, excluding modity on the farm; or other kind of sunflower seed (other than oil any quantity for which the producers obtain (II) in the case of a farm without a pay- sunflower seed) at a rate that is the lesser a marketing assistance loan under section ment yield for that loan commodity, an ap- of— 1201. propriate yield established by the Secretary. (1) the loan rate established for the com- (c) PAYMENT RATE.— (2) GRAZING OF TRITICALE ACREAGE.—The modity under section 1202, plus interest (de- (1) IN GENERAL.—In the case of a loan com- amount of a payment made under this sec- termined in accordance with section 163 of modity, the payment rate shall be the tion to a producer on a farm described in the Federal Agriculture Improvement and amount by which— subsection (a)(2) shall be equal to the Reform Act of 1996 (7 U.S.C. 7283)); or (A) the loan rate established under section amount determined by multiplying— (2) the repayment rate established for oil 1202 for the loan commodity; exceeds (A) the loan deficiency payment rate deter- sunflower seed. (B) the rate at which a marketing assist- mined under section 1205(c) in effect for (g) PAYMENT OF COTTON STORAGE COSTS.— ance loan for the loan commodity may be re- wheat, as of the date of the agreement, for Effective for each of the 2013 through 2017 paid under section 1204. the county in which the farm is located; by crop years, the Secretary shall make cotton (2) UNSHORN PELTS.—In the case of unshorn (B) the payment quantity determined by storage payments available in the same pelts, the payment rate shall be the amount multiplying— manner, and at the same rates as the Sec- by which— (i) the quantity of the grazed acreage on retary provided storage payments for the (A) the loan rate established under section the farm with respect to which the producer 2006 crop of cotton, except that the rates 1202 for ungraded wool; exceeds elects to forgo harvesting of triticale; and shall be reduced by 20 percent. (B) the rate at which a marketing assist- (ii)(I) the yield in effect for the calculation (h) REPAYMENT RATE FOR PEANUTS.—The ance loan for ungraded wool may be repaid of agriculture risk coverage payments under Secretary shall permit producers on a farm under section 1204. subtitle A with respect to wheat on the farm; to repay a marketing assistance loan for pea- (3) HAY AND SILAGE.—In the case of hay or or nuts under subsection (a) at a rate that is silage derived from a loan commodity, the (II) in the case of a farm without a pay- the lesser of— payment rate shall be the amount by ment yield for wheat, an appropriate yield (1) the loan rate established for peanuts which— established by the Secretary in a manner under subsection (b), plus interest (deter- (A) the loan rate established under section consistent with section 1102 of the Food, mined in accordance with section 163 of the 1202 for the loan commodity from which the Conservation, and Energy Act of 2008 (7 Federal Agriculture Improvement and Re- hay or silage is derived; exceeds U.S.C. 8712). form Act of 1996 (7 U.S.C. 7283)); or (B) the rate at which a marketing assist- (c) TIME, MANNER, AND AVAILABILITY OF (2) a rate that the Secretary determines ance loan for the loan commodity may be re- PAYMENT.— will— paid under section 1204. (1) TIME AND MANNER.—A payment under (A) minimize potential loan forfeitures; (d) EXCEPTION FOR EXTRA LONG STAPLE this section shall be made at the same time (B) minimize the accumulation of stocks of COTTON.—This section shall not apply with and in the same manner as loan deficiency peanuts by the Federal Government; respect to extra long staple cotton. payments are made under section 1205. (C) minimize the cost incurred by the Fed- (e) EFFECTIVE DATE FOR PAYMENT RATE DE- (2) AVAILABILITY.— eral Government in storing peanuts; and TERMINATION.—The Secretary shall deter- (A) IN GENERAL.—The Secretary shall es- (D) allow peanuts produced in the United mine the amount of the loan deficiency pay- tablish an availability period for the pay- States to be marketed freely and competi- ment to be made under this section to the ments authorized by this section.

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(B) CERTAIN COMMODITIES.—In the case of (b) LIMITED GLOBAL IMPORT QUOTA FOR UP- the form of payments for all documented use wheat, barley, and oats, the availability pe- LAND COTTON.— of that upland cotton during the previous riod shall be consistent with the availability (1) DEFINITIONS.—In this subsection: monthly period regardless of the origin of period for the commodity established by the (A) DEMAND.—The term ‘‘demand’’ means— the upland cotton. Secretary for marketing assistance loans au- (i) the average seasonally adjusted annual (2) VALUE OF ASSISTANCE.—Effective begin- thorized by this subtitle. rate of domestic mill consumption of cotton ning on August 1, 2012, the value of the as- (d) PROHIBITION ON CROP INSURANCE INDEM- during the most recent 3 months for which sistance provided under paragraph (1) shall NITY OR NONINSURED CROP ASSISTANCE.—A official data of the Department of Agri- be 3 cents per pound. 2013 through 2017 crop of wheat, barley, oats, culture (as determined by the Secretary) are (3) ALLOWABLE PURPOSES.—Economic ad- or triticale planted on acreage that a pro- available; and justment assistance under this subsection ducer elects, in the agreement required by (ii) the larger of— shall be made available only to domestic subsection (a), to use for the grazing of live- (I) average exports of upland cotton during users of upland cotton that certify that the stock in lieu of any other harvesting of the the preceding 6 marketing years; or assistance shall be used only to acquire, con- crop shall not be eligible for an indemnity (II) cumulative exports of upland cotton struct, install, modernize, develop, convert, under a policy or plan of insurance author- plus outstanding export sales for the mar- or expand land, plant, buildings, equipment, ized under the Federal Crop Insurance Act (7 keting year in which the quota is estab- facilities, or machinery. U.S.C. 1501 et seq.) or noninsured crop assist- lished. (4) REVIEW OR AUDIT.—The Secretary may ance under section 196 of the Federal Agri- (B) LIMITED GLOBAL IMPORT QUOTA.—The conduct such review or audit of the records culture Improvement and Reform Act of 1996 term ‘‘limited global import quota’’ means a of a domestic user under this subsection as (7 U.S.C. 7333). quantity of imports that is not subject to the the Secretary determines necessary to carry SEC. 1207. SPECIAL MARKETING LOAN PROVI- over-quota tariff rate of a tariff-rate quota. out this subsection. SIONS FOR UPLAND COTTON. (C) SUPPLY.—The term ‘‘supply’’ means, (5) IMPROPER USE OF ASSISTANCE.—If the (a) SPECIAL IMPORT QUOTA.— using the latest official data of the Depart- Secretary determines, after a review or audit (1) DEFINITION OF SPECIAL IMPORT QUOTA.— ment of Agriculture— of the records of the domestic user, that eco- In this subsection, the term ‘‘special import (i) the carryover of upland cotton at the quota’’ means a quantity of imports that is nomic adjustment assistance under this sub- beginning of the marketing year (adjusted to section was not used for the purposes speci- not subject to the over-quota tariff rate of a 480-pound bales) in which the quota is estab- tariff-rate quota. fied in paragraph (3), the domestic user shall lished; be— (2) ESTABLISHMENT.— (ii) production of the current crop; and (A) IN GENERAL.—The President shall carry (A) liable for the repayment of the assist- (iii) imports to the latest date available ance to the Secretary, plus interest, as de- out an import quota program during the pe- during the marketing year. riod beginning on August 1, 2013, and ending termined by the Secretary; and (2) PROGRAM.—The President shall carry (B) ineligible to receive assistance under on July 31, 2018, as provided in this sub- out an import quota program that provides section. this subsection for a period of 1 year fol- that whenever the Secretary determines and lowing the determination of the Secretary. (B) PROGRAM REQUIREMENTS.—Whenever announces that the average price of the base the Secretary determines and announces quality of upland cotton, as determined by SEC. 1208. SPECIAL COMPETITIVE PROVISIONS that for any consecutive 4-week period, the the Secretary, in the designated spot mar- FOR EXTRA LONG STAPLE COTTON. Friday through Thursday average price kets for a month exceeded 130 percent of the (a) COMPETITIVENESS PROGRAM.—Notwith- quotation for the lowest-priced United average price of the quality of cotton in the standing any other provision of law, during States growth, as quoted for Middling (M) markets for the preceding 36 months, not- the period beginning on the date of enact- 13⁄32-inch cotton, delivered to a definable and withstanding any other provision of law, ment of this Act through July 31, 2018, the significant international market, as deter- there shall immediately be in effect a lim- Secretary shall carry out a program— mined by the Secretary, exceeds the pre- ited global import quota subject to the fol- (1) to maintain and expand the domestic vailing world market price, there shall im- lowing conditions: use of extra long staple cotton produced in mediately be in effect a special import (A) QUANTITY.—The quantity of the quota the United States; quota. shall be equal to 21 days of domestic mill (2) to increase exports of extra long staple (3) QUANTITY.—The quota shall be equal to consumption of upland cotton at the season- cotton produced in the United States; and the consumption during a 1-week period of ally adjusted average rate of the most recent (3) to ensure that extra long staple cotton cotton by domestic mills at the seasonally 3 months for which official data of the De- produced in the United States remains com- adjusted average rate of the most recent 3 partment of Agriculture are available or as petitive in world markets. months for which official data of the Depart- estimated by the Secretary. (b) PAYMENTS UNDER PROGRAM; TRIGGER.— ment of Agriculture or other data are avail- (B) QUANTITY IF PRIOR QUOTA.—If a quota Under the program, the Secretary shall able. has been established under this subsection make payments available under this section (4) APPLICATION.—The quota shall apply to during the preceding 12 months, the quantity whenever— upland cotton purchased not later than 90 of the quota next established under this sub- (1) for a consecutive 4-week period, the days after the date of the Secretary’s an- section shall be the smaller of 21 days of do- world market price for the lowest priced nouncement under paragraph (2) and entered mestic mill consumption calculated under competing growth of extra long staple cotton into the United States not later than 180 subparagraph (A) or the quantity required to (adjusted to United States quality and loca- days after that date. increase the supply to 130 percent of the de- tion and for other factors affecting the com- (5) OVERLAP.—A special quota period may mand. petitiveness of such cotton), as determined be established that overlaps any existing (C) PREFERENTIAL TARIFF TREATMENT.—The by the Secretary, is below the prevailing quota period if required by paragraph (2), ex- quantity under a limited global import quota United States price for a competing growth cept that a special quota period may not be shall be considered to be an in-quota quan- of extra long staple cotton; and established under this subsection if a quota tity for purposes of— (2) the lowest priced competing growth of period has been established under subsection (i) section 213(d) of the Caribbean Basin extra long staple cotton (adjusted to United (b). Economic Recovery Act (19 U.S.C. 2703(d)); States quality and location and for other (6) PREFERENTIAL TARIFF TREATMENT.—The (ii) section 204 of the Andean Trade Pref- factors affecting the competitiveness of such quantity under a special import quota shall erence Act (19 U.S.C. 3203); cotton), as determined by the Secretary, is be considered to be an in-quota quantity for (iii) section 503(d) of the Trade Act of 1974 less than 134 percent of the loan rate for purposes of— (19 U.S.C. 2463(d)); and extra long staple cotton. (A) section 213(d) of the Caribbean Basin (iv) General Note 3(a)(iv) to the Har- (c) ELIGIBLE RECIPIENTS.—The Secretary Economic Recovery Act (19 U.S.C. 2703(d)); monized Tariff Schedule. shall make payments available under this (B) section 204 of the Andean Trade Pref- (D) QUOTA ENTRY PERIOD.—When a quota is section to domestic users of extra long staple erence Act (19 U.S.C. 3203); established under this subsection, cotton cotton produced in the United States and ex- (C) section 503(d) of the Trade Act of 1974 may be entered under the quota during the porters of extra long staple cotton produced (19 U.S.C. 2463(d)); and 90-day period beginning on the date the in the United States that enter into an (D) General Note 3(a)(iv) to the Har- quota is established by the Secretary. agreement with the Commodity Credit Cor- monized Tariff Schedule. (3) NO OVERLAP.—Notwithstanding para- poration to participate in the program under (7) LIMITATION.—The quantity of cotton en- graph (2), a quota period may not be estab- this section. tered into the United States during any mar- lished that overlaps an existing quota period (d) PAYMENT AMOUNT.—Payments under keting year under the special import quota or a special quota period established under this section shall be based on the amount of established under this subsection may not subsection (a). the difference in the prices referred to in exceed the equivalent of 10 week’s consump- (c) ECONOMIC ADJUSTMENT ASSISTANCE TO subsection (b)(1) during the fourth week of tion of upland cotton by domestic mills at USERS OF UPLAND COTTON.— the consecutive 4-week period multiplied by the seasonally adjusted average rate of the 3 (1) IN GENERAL.—Subject to paragraph (2), the amount of documented purchases by do- months immediately preceding the first spe- the Secretary shall, on a monthly basis, mestic users and sales for export by export- cial import quota established in any mar- make economic adjustment assistance avail- ers made in the week following such a con- keting year. able to domestic users of upland cotton in secutive 4-week period.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00075 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4006 CONGRESSIONAL RECORD — SENATE June 12, 2012 SEC. 1209. AVAILABILITY OF RECOURSE LOANS the level of support determined in accord- ferences in grade and quality (including mill- FOR HIGH MOISTURE FEED GRAINS ance with this subtitle and subtitles C ing yields). AND SEED COTTON. through E. Subtitle C—Sugar (a) HIGH MOISTURE FEED GRAINS.— (c) ADJUSTMENT ON COUNTY BASIS.— SEC. 1301. SUGAR PROGRAM. (1) DEFINITION OF HIGH MOISTURE STATE.—In (1) IN GENERAL.—The Secretary may estab- (a) CONTINUATION OF CURRENT PROGRAM this subsection, the term ‘‘high moisture lish loan rates for a crop for producers in in- AND LOAN RATES.— state’’ means corn or grain sorghum having dividual counties in a manner that results in (1) SUGARCANE.—Section 156(a)(5) of the a moisture content in excess of Commodity the lowest loan rate being 95 percent of the Federal Agriculture Improvement and Re- Credit Corporation standards for marketing national average loan rate, if those loan form Act of 1996 (7 U.S.C. 7272(a)(5)) is assistance loans made by the Secretary rates do not result in an increase in outlays. amended by striking ‘‘the 2012 crop year’’ under section 1201. (2) PROHIBITION.—Adjustments under this and inserting ‘‘each of the 2012 through 2017 (2) RECOURSE LOANS AVAILABLE.—For each subsection shall not result in an increase in crop years’’. of the 2013 through 2017 crops of corn and the national average loan rate for any year. (2) SUGAR BEETS.—Section 156(b)(2) of the grain sorghum, the Secretary shall make (d) ADJUSTMENT IN LOAN RATE FOR COT- Federal Agriculture Improvement and Re- available recourse loans, as determined by TON.— form Act of 1996 (7 U.S.C. 7272(b)(2)) is the Secretary, to producers on a farm that— (1) IN GENERAL.—The Secretary may make amended by striking ‘‘2012’’ and inserting (A) normally harvest all or a portion of appropriate adjustments in the loan rate for ‘‘2017’’. their crop of corn or grain sorghum in a high cotton for differences in quality factors. (3) EFFECTIVE PERIOD.—Section 156(i) of the moisture state; (2) REVISIONS TO QUALITY ADJUSTMENTS FOR Federal Agriculture Improvement and Re- (B) present— UPLAND COTTON.— form Act of 1996 (7 U.S.C. 7272(i)) is amended (i) certified scale tickets from an in- (A) IN GENERAL.—Not later than 180 days after the date of enactment of this Act, the by striking ‘‘2012’’ and inserting ‘‘2017’’. spected, certified commercial scale, includ- (b) FLEXIBLE MARKETING ALLOTMENTS FOR Secretary shall implement revisions in the ing a licensed warehouse, feedlot, feed mill, SUGAR.— administration of the marketing assistance distillery, or other similar entity approved (1) SUGAR ESTIMATES.—Section 359b(a)(1) of loan program for upland cotton to more ac- by the Secretary, pursuant to regulations the Agricultural Adjustment Act of 1938 (7 curately and efficiently reflect market val- issued by the Secretary; or U.S.C. 1359bb(a)(1)) is amended by striking ues for upland cotton. (ii) field or other physical measurements of ‘‘2012’’ and inserting ‘‘2017’’. (B) MANDATORY REVISIONS.—Revisions the standing or stored crop in regions of the (2) EFFECTIVE PERIOD.—Section 359l(a) of under subparagraph (A) shall include— United States, as determined by the Sec- the Agricultural Adjustment Act of 1938 (7 (i) the elimination of warehouse location retary, that do not have certified commer- U.S.C. 1359ll(a)) is amended by striking differentials; cial scales from which certified scale tickets ‘‘2012’’ and inserting ‘‘2017’’. (ii) the establishment of differentials for may be obtained within reasonable prox- Subtitle D—Dairy imity of harvest operation; the various quality factors and staple PART I—DAIRY PRODUCTION MARGIN (C) certify that the producers on the farm lengths of cotton based on a 3-year, weighted PROTECTION AND DAIRY MARKET STA- were the owners of the feed grain at the time moving average of the weighted designated BILIZATION PROGRAMS of delivery to, and that the quantity to be spot market regions, as determined by re- placed under loan under this subsection was gional production; SEC. 1401. DEFINITIONS. in fact harvested on the farm and delivered (iii) the elimination of any artificial split In this part: to, a feedlot, feed mill, or commercial or on- in the premium or discount between upland (1) ACTUAL DAIRY PRODUCTION MARGIN.—The farm high-moisture storage facility, or to a cotton with a 32 or 33 staple length due to term ‘‘actual dairy production margin’’ facility maintained by the users of corn and micronaire; and means the difference between the all-milk grain sorghum in a high moisture state; and (iv) a mechanism to ensure that no pre- price and the average feed cost, as calculated (D) comply with deadlines established by mium or discount is established that exceeds under section 1402. the Secretary for harvesting the corn or the premium or discount associated with a (2) ALL-MILK PRICE.—The term ‘‘all-milk grain sorghum and submit applications for leaf grade that is 1 better than the applicable price’’ means the average price received, per loans under this subsection within deadlines color grade. hundredweight of milk, by dairy operations established by the Secretary. (C) DISCRETIONARY REVISIONS.—Revisions for all milk sold to plants and dealers in the United States, as determined by the Sec- (3) ELIGIBILITY OF ACQUIRED FEED GRAINS.— under subparagraph (A) may include— A loan under this subsection shall be made (i) the use of non-spot market price data, retary. on a quantity of corn or grain sorghum of in addition to spot market price data, that (3) ANNUAL PRODUCTION HISTORY.—The term the same crop acquired by the producer would enhance the accuracy of the price in- ‘‘annual production history’’ means the pro- equivalent to a quantity determined by mul- formation used in determining quality ad- duction history determined for a partici- tiplying— justments under this subsection; pating dairy operation under section 1413(b) (A) the acreage of the corn or grain sor- (ii) adjustments in the premiums or dis- whenever the participating dairy operation ghum in a high moisture state harvested on counts associated with upland cotton with a purchases supplemental production margin the farm of the producer; by staple length of 33 or above due to protection. (B) the lower of the actual average yield micronaire with the goal of eliminating any (4) AVERAGE FEED COST.—The term ‘‘aver- used to make payments under subtitle A or unnecessary artificial splits in the calcula- age feed cost’’ means the average cost of feed the actual yield on a field, as determined by tions of the premiums or discounts; and used by a dairy operation to produce a hun- the Secretary, that is similar to the field (iii) such other adjustments as the Sec- dredweight of milk, determined under sec- from which the corn or grain sorghum was retary determines appropriate, after con- tion 1402 using the sum of the following: obtained. sultations conducted in accordance with (A) The product determined by multiplying (b) RECOURSE LOANS AVAILABLE FOR SEED paragraph (3). 1.0728 by the price of corn per bushel. COTTON.—For each of the 2013 through 2017 (3) CONSULTATION WITH PRIVATE SECTOR.— (B) The product determined by multiplying crops of upland cotton and extra long staple (A) PRIOR TO REVISION.—In making adjust- 0.00735 by the price of soybean meal per ton. cotton, the Secretary shall make available ments to the loan rate for cotton (including (C) The product determined by multiplying recourse seed cotton loans, as determined by any review of the adjustments) as provided 0.0137 by the price of alfalfa hay per ton. the Secretary, on any production. in this subsection, the Secretary shall con- (5) BASIC PRODUCTION HISTORY.—The term (c) REPAYMENT RATES.—Repayment of a re- sult with representatives of the United ‘‘basic production history’’ means the pro- course loan made under this section shall be States cotton industry. duction history determined for a partici- at the loan rate established for the com- (B) INAPPLICABILITY OF FEDERAL ADVISORY pating dairy operation under section 1413(a) modity by the Secretary, plus interest (de- COMMITTEE ACT.—The Federal Advisory Com- for provision of basic production margin pro- termined in accordance with section 163 of mittee Act (5 U.S.C. App.) shall not apply to tection. the Federal Agriculture Improvement and consultations under this subsection. (6) CONSECUTIVE 2-MONTH PERIOD.—The Reform Act of 1996 (7 U.S.C. 7283)). (4) REVIEW OF ADJUSTMENTS.—The Sec- term ‘‘consecutive 2-month period’’ refers to SEC. 1210. ADJUSTMENTS OF LOANS. retary may review the operation of the up- the 2-month period consisting of the months (a) ADJUSTMENT AUTHORITY.—Subject to land cotton quality adjustments imple- of January and February, March and April, subsection (e), the Secretary may make ap- mented pursuant to this subsection and may May and June, July and August, September propriate adjustments in the loan rates for make further revisions to the administration and October, or November and December, re- any loan commodity (other than cotton) for of the loan program for upland cotton, by— spectively. differences in grade, type, quality, location, (A) revoking or revising any actions taken (7) DAIRY OPERATION.— and other factors. under paragraph (2)(B); or (A) IN GENERAL.—The term ‘‘dairy oper- (b) MANNER OF ADJUSTMENT.—The adjust- (B) revoking or revising any actions taken ation’’ means, as determined by the Sec- ments under subsection (a) shall, to the max- or authorized to be taken under paragraph retary, 1 or more dairy producers that imum extent practicable, be made in such a (2)(C). produce and market milk as a single dairy manner that the average loan level for the (e) RICE.—The Secretary shall not make operation in which each dairy producer— commodity will, on the basis of the antici- adjustments in the loan rates for long grain (i) shares in the pooling of resources and a pated incidence of the factors, be equal to rice and medium grain rice, except for dif- common ownership structure;

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(ii) is at risk in the production of milk on (2) STABILIZATION PROGRAM.—For use in the of such date may register with the Sec- the dairy operation; and stabilization program under subpart B, the retary— (iii) contributes land, labor, management, Secretary shall calculate each month the ac- (A) to receive basic production margin pro- equipment, or capital to the dairy operation. tual dairy production margin for the pre- tection; and (B) ADDITIONAL OWNERSHIP STRUCTURES.— ceding month by subtracting— (B) if the dairy operation elects, to pur- The Secretary shall determine additional (A) the average feed cost for that preceding chase supplemental production margin pro- ownership structures to be covered by the month, determined in accordance with sub- tection. definition of dairy operation. section (a); from (2) NEW ENTRANTS.—A dairy producer that (8) HANDLER.— (B) the all-milk price for that preceding has no existing interest in a dairy operation (A) IN GENERAL.—The term ‘‘handler’’ month. as of the date of the initiation of the reg- means the initial individual or entity mak- (3) TIME FOR CALCULATIONS.—The calcula- istration period for the production margin ing payment to a dairy operation for milk tions required by paragraphs (1) and (2) shall protection program, but that, after such produced in the United States and marketed be made as soon as practicable using the full date, establishes a new dairy operation, may for commercial use. month price of the applicable reference register with the Secretary during the 1-year (B) PRODUCER-HANDLER.—The term in- month. period beginning on the date on which the dairy operation first markets milk commer- cludes a ‘‘producer-handler’’ when the pro- Subpart A—Dairy Production Margin cially— ducer satisfies the definition in subpara- Protection Program graph (A). (A) to receive basic production margin pro- SEC. 1411. ESTABLISHMENT OF DAIRY PRODUC- (9) PARTICIPATING DAIRY OPERATION.—The tection; and TION MARGIN PROTECTION PRO- (B) if the dairy operation elects, to pur- term ‘‘participating dairy operation’’ means GRAM. chase supplemental production margin pro- a dairy operation that— Effective not later than 120 days after the (A) signs up under section 1412 to partici- tection. effective date of this subtitle, the Secretary (d) TRANSITION FROM MILC TO PRODUCTION pate in the production margin protection shall establish and administer a dairy pro- program under subpart A; and MARGIN PROTECTION.— duction margin protection program under (1) DEFINITION OF TRANSITION PERIOD.—In (B) as a result, also participates in the sta- which participating dairy operations are bilization program under subpart B. this subsection, the term ‘‘transition period’’ paid— means the period during which the milk in- (10) PRODUCTION MARGIN PROTECTION PRO- (1) basic production margin protection pro- come loss program established under section GRAM.—The term ‘‘production margin protec- gram payments under section 1414 when ac- 1506 of the Food, Conservation, and Energy tion program’’ means the dairy production tual dairy production margins are less than Act of 2008 (7 U.S.C. 8773) and the production margin protection program required by sub- the threshold levels for such payments; and margin protection program under this sub- part A. (2) supplemental production margin pro- title are both in existence. (11) SECRETARY.—The term ‘‘Secretary’’ tection program payments under section 1415 (2) NOTICE OF AVAILABILITY.—Not later means the Secretary of Agriculture. if purchased by a participating dairy oper- than 30 days after the date of enactment of (12) STABILIZATION PROGRAM.—The term ation. this Act, the Secretary shall publish a notice ‘‘stabilization program’’ means the dairy SEC. 1412. PARTICIPATION OF DAIRY OPER- in the Federal Register to inform dairy oper- market stabilization program required by ATIONS IN PRODUCTION MARGIN ations of the availability of basic production subpart B for all participating dairy oper- PROTECTION PROGRAM. margin protection and supplemental produc- ations. (a) ELIGIBILITY.—All dairy operations in tion margin protection, including the terms (13) STABILIZATION PROGRAM BASE.—The the United States shall be eligible to partici- of the protection and information about the term ‘‘stabilization program base’’, with re- pate in the production margin protection option of dairy operations during the transi- spect to a participating dairy operation, program, except that a participating dairy tion period to make an election described in means the stabilization program base cal- operation shall be required to register with paragraph (3). culated for the participating dairy operation the Secretary before the participating dairy (3) ELECTION.—Except as provided in para- under section 1431(b). operation may receive— graph (4), a dairy operation may elect to par- (14) UNITED STATES.—The term ‘‘United (1) basic production margin protection pro- ticipate in either the milk income loss pro- States’’, in a geographical sense, means the gram payments under section 1414; and gram established under section 1506 of the 50 States, the District of Columbia, Amer- (2) if the participating dairy operation pur- Food, Conservation, and Energy Act of 2008 ican Samoa, Guam, the Commonwealth of chases supplemental production margin pro- (7 U.S.C. 8773) or the production margin pro- the Northern Mariana Islands, the Common- tection under section 1415, supplemental pro- tection program under this subtitle for the wealth of Puerto Rico, the Virgin Islands of duction margin protection program pay- duration of the transition period. the United States, and any other territory or ments under such section. (4) TRANSFER TO PRODUCTION MARGIN PRO- possession of the United States. (b) REGISTRATION PROCESS.— TECTION.—A dairy operation that elects to SEC. 1402. CALCULATION OF AVERAGE FEED (1) IN GENERAL.—The Secretary shall speci- participate in the milk income loss program COST AND ACTUAL DAIRY PRODUC- fy the manner and form by which a partici- established under section 1506 of the Food, TION MARGINS. pating dairy operation may register to par- Conservation, and Energy Act of 2008 (7 (a) CALCULATION OF AVERAGE FEED COST.— ticipate in the production margin protection U.S.C. 8773) during the transition period The Secretary shall calculate the national program. may, at any time, make a permanent trans- average feed cost for each month using the (2) TREATMENT OF MULTIPRODUCER DAIRY fer to the production margin protection pro- following data: OPERATIONS.—If a participating dairy oper- gram. (1) The price of corn for a month shall be ation is operated by more than 1 dairy pro- (e) ADMINISTRATION FEE.— the price received during that month by ducer, all of the dairy producers of the par- (1) ADMINISTRATION FEE REQUIRED.—Except farmers in the United States for corn, as re- ticipating dairy operation shall be treated as as provided in paragraph (5), a participating ported in the monthly Agricultural Prices a single dairy operation for purposes of— dairy operation shall— report by the Secretary. (A) registration to receive basic production (A) pay an administration fee under this (2) The price of soybean meal for a month margin protection and election to purchase subsection to register to participate in the shall be the central Illinois price for soybean supplemental production margin protection; production margin protection program; and meal, as reported in the Market News– (B) payment of the participation fee under (B) pay the administration fee annually Monthly Soybean Meal Price Report by the subsection (d) and producer premiums under thereafter to continue to participate in the Secretary. section 1415; and production margin protection program. (3) The price of alfalfa hay for a month (C) participation in the stabilization pro- (2) FEE AMOUNT.—The administration fee shall be the price received during that month gram under subtitle B. for a participating dairy operation for a cal- by farmers in the United States for alfalfa (3) TREATMENT OF PRODUCERS WITH MUL- endar year shall be based on the pounds of hay, as reported in the monthly Agricultural TIPLE DAIRY OPERATIONS.—If a dairy producer milk (in millions) marketed by the partici- Prices report by the Secretary. operates 2 or more dairy operations, each pating dairy operation in the previous cal- (b) CALCULATION OF ACTUAL DAIRY PRODUC- dairy operation of the producer shall sepa- endar year, as follows: TION MARGINS.— rately register to receive basic production (1) PRODUCTION MARGIN PROTECTION PRO- margin protection and purchase supple- Pounds Marketed (in Administration Fee GRAM.—For use in the production margin mental production margin protection and millions) protection program under subpart A, the only those dairy operations so registered Secretary shall calculate the actual dairy shall be covered by the stabilization pro- less than 1 $100 production margin for each consecutive 2- gram. 1 to 5 $250 month period by subtracting— (c) TIME FOR REGISTRATION.— more than 5 to 10 $350 (A) the average feed cost for that consecu- (1) EXISTING DAIRY OPERATIONS.—During more than 10 to 40 $1,000 tive 2-month period, determined in accord- the 15-month period beginning on the date of more than 40 $2,500 ance with subsection (a); from the initiation of the registration period for (B) the all-milk price for that consecutive the production margin protection program, a (3) DEPOSIT OF FEES.—All administration 2-month period. dairy operation that is actively engaged as fees collected under this subsection shall be

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00077 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4008 CONGRESSIONAL RECORD — SENATE June 12, 2012 credited to the fund or account used to cover the annual production history of the partici- (1) the difference between the average ac- the costs incurred to administer the produc- pating dairy operation under paragraph (2). tual dairy production margin for the con- tion margin protection program and the sta- (2) CALCULATION.—The annual production secutive 2-month period and $4.00, except bilization program and shall be available to history of a participating dairy operation for that, if the difference is more than $4.00, the the Secretary, without further appropriation a year is equal to the actual milk mar- Secretary shall use $4.00; by and until expended, for use or transfer as ketings of the participating dairy operation (2) the lesser of— provided in paragraph (4). during the preceding calendar year. (A) 80 percent of the production history of (4) USE OF FEES.—The Secretary shall use (3) NEW DAIRY OPERATIONS.—Subsection the participating dairy operation, divided by administration fees collected under this sub- (a)(3) shall apply with respect to determining 6; or section— the annual production history of a partici- (B) the actual quantity of milk marketed (A) to cover administrative costs of the pating dairy operation that has been in oper- by the participating dairy operation during production margin protection program and ation for less than a year. the consecutive 2-month period. stabilization program; and (c) REQUIRED INFORMATION.—A partici- SEC. 1415. SUPPLEMENTAL PRODUCTION MARGIN (B) to cover costs of the Department of Ag- pating dairy operation shall provide all in- PROTECTION. riculture relating to reporting of dairy mar- formation that the Secretary may require in (a) ELECTION OF SUPPLEMENTAL PRODUC- ket news, carrying out the amendments order to establish— TION MARGIN PROTECTION.—A participating made by section 1476, and carrying out sec- (1) the basic production history of the par- dairy operation may annually purchase sup- tion 273 of the Agricultural Marketing Act of ticipating dairy operation under subsection plemental production margin protection to 1946 (7 U.S.C. 1637b)), to the extent funds re- (a); and protect, during the calendar year for which main available after operation of subpara- (2) the production history of the partici- purchased, a higher level of the income of a graph (A). pating dairy operation whenever the partici- participating dairy operation than the in- (5) WAIVER.—The Secretary shall waive or pating dairy operation purchases supple- come level guaranteed by basic production reduce the administration fee required under mental production margin protection under margin protection under section 1414. paragraph (1) in the case of a limited-re- section 1415. (b) SELECTION OF PAYMENT THRESHOLD.—A source dairy operation, as defined by the (d) TRANSFER OF PRODUCTION HISTORIES.— participating dairy operation purchasing Secretary. (1) TRANSFER BY SALE OR LEASE.—In pro- supplemental production margin protection (f) LIMITATION.—A dairy operation may mulgating the rules to initiate the produc- for a year shall elect a coverage level that is only participate in the production margin tion margin protection program, the Sec- higher, in any increment of $0.50, than the protection program or the livestock gross retary shall specify the conditions under payment threshold for basic production mar- margin for dairy program under the Federal which and the manner by which the produc- gin protection specified in section 1414(a), Crop Insurance Act (7 U.S.C. 1501 et seq.), but tion history of a participating dairy oper- but not to exceed $8.00. not both. ation may be transferred by sale or lease. (c) COVERAGE PERCENTAGE.—A partici- SEC. 1413. PRODUCTION HISTORY OF PARTICI- OVERAGE LEVEL pating dairy operation purchasing supple- PATING DAIRY OPERATIONS. (2) C .— (A) BASIC PRODUCTION MARGIN PROTEC- mental production margin protection for a (a) PRODUCTION HISTORY FOR BASIC PRODUC- year shall elect a percentage of coverage TION MARGIN PROTECTION.— TION.—A purchaser or lessee to whom the equal to not more than 90 percent, nor less (1) DETERMINATION REQUIRED.—For pur- Secretary transfers a basic production his- than 25 percent, of the annual production poses of providing basic production margin tory under this subsection shall not obtain a history of the participating dairy operation. protection, the Secretary shall determine different level of basic production margin (d) PREMIUMS FOR SUPPLEMENTAL PRODUC- the basic production history of a partici- protection than the basic production margin TION MARGIN PROTECTION.— pating dairy operation. protection coverage held by the seller or les- (1) PREMIUMS REQUIRED.—A participating (2) CALCULATION.—Except as provided in sor from whom the transfer was obtained. (B) SUPPLEMENTAL PRODUCTION MARGIN dairy operation that purchases supplemental paragraph (3), the basic production history of production margin protection shall pay an a participating dairy operation for basic pro- PROTECTION.—A purchaser or lessee to whom the Secretary transfers an annual production annual premium equal to the product ob- duction margin protection is equal to the tained by multiplying— highest annual milk marketings of the par- history under this subsection shall not ob- tain a different level of supplemental produc- (A) the coverage percentage elected by the ticipating dairy operation during any 1 of participating dairy operation under sub- the 3 calendar years immediately preceding tion margin protection coverage than the supplemental production margin protection section (c); the calendar year in which the participating (B) the annual production history of the dairy operation first signed up to participate coverage in effect for the seller or lessor from whom the transfer was obtained for the participating dairy operation; and in the production margin protection pro- (C) the premium per hundredweight of gram. calendar year in which the transfer was made. milk, as specified in the applicable table (3) ELECTION BY NEW DAIRY OPERATIONS.—In under paragraph (2) or (3). the case of a participating dairy operation (e) MOVEMENT AND TRANSFER OF PRODUC- (2) PREMIUM PER HUNDREDWEIGHT FOR FIRST that has been in operation for less than a TION HISTORY.— 4 MILLION POUNDS OF PRODUCTION.—For the year, the participating dairy operation shall (1) MOVEMENT AND TRANSFER AUTHORIZED.— Subject to paragraph (2), if a participating first 4,000,000 pounds of milk marketings in- elect 1 of the following methods for the Sec- cluded in the annual production history of a retary to determine the basic production his- dairy operation moves from 1 location to an- other location, the participating dairy oper- participating dairy operation, the premium tory of the participating dairy operation: per hundredweight corresponding to each (A) The volume of the actual milk mar- ation may transfer the basic production his- tory and annual production history associ- coverage level specified in the following ketings for the months the participating table is as follows: dairy operation has been in operation extrap- ated with the participating dairy operation. olated to a yearly amount. (2) NOTIFICATION REQUIREMENT.—A partici- (B) An estimate of the actual milk mar- pating dairy operation shall notify the Sec- Coverage Level Premium per Cwt. ketings of the participating dairy operation retary of any move of a participating dairy based on the herd size of the participating operation under paragraph (1). $4.50 $0.01 dairy operation relative to the national roll- (3) SUBSEQUENT OCCUPATION OF VACATED LO- $5.00 $0.02 ing herd average data published by the Sec- CATION.—A party subsequently occupying a $5.50 $0.035 retary. participating dairy operation location va- $6.00 $0.045 (4) NO CHANGE IN PRODUCTION HISTORY FOR cated as described in paragraph (1) shall have $6.50 $0.09 BASIC PRODUCTION MARGIN PROTECTION.—Once no interest in the basic production history or $7.00 $0.40 the basic production history of a partici- annual production history previously associ- $7.50 $0.60 pating dairy operation is determined under ated with the participating dairy operation $8.00 $0.95 paragraph (2) or (3), the basic production his- at such location. tory shall not be subsequently changed for SEC. 1414. BASIC PRODUCTION MARGIN PROTEC- (3) PREMIUM PER HUNDREDWEIGHT FOR PRO- purposes of determining the amount of any TION. DUCTION IN EXCESS OF 4 MILLION POUNDS.—For basic production margin protection pay- (a) PAYMENT THRESHOLD.—The Secretary milk marketings in excess of 4,000,000 pounds ments for the participating dairy operation shall make a payment to participating dairy included in the annual production history of made under section 1414. operations in accordance with subsection (b) a participating dairy operation, the premium (b) ANNUAL PRODUCTION HISTORY FOR SUP- whenever the average actual dairy produc- per hundredweight corresponding to each PLEMENTAL PRODUCTION MARGIN PROTEC- tion margin for a consecutive 2-month period coverage level is as follows: TION.— is less than $4.00 per hundredweight of milk. (1) DETERMINATION REQUIRED.—For pur- (b) BASIC PRODUCTION MARGIN PROTECTION Coverage Level Premium per Cwt. poses of providing supplemental production PAYMENT.—The basic production margin pro- margin protection for a participating dairy tection payment for a participating dairy op- $4.50 $0.02 operation that purchases supplemental pro- eration for a consecutive 2-month period $5.00 $0.04 duction margin protection for a year under shall be equal to the product obtained by $5.50 $0.10 section 1415, the Secretary shall determine multiplying— $6.00 $0.15

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Coverage Level Premium per Cwt. mental production margin protection under (2) refrain from making the announcement section 1415— under subsection (a) to implement order the $6.50 $0.29 (1) remains legally obligated to pay the ad- stabilization payment; or $7.00 $0.62 ministration fee or premiums, as the case (3) order reduced payments. $7.50 $0.83 may be; and (c) EFFECTIVE DATE FOR IMPLEMENTATION $8.00 $1.06 (2) may not receive basic production mar- OF PAYMENT REDUCTIONS.—Reductions in gin protection payments or supplemental dairy payments shall commence beginning on the first day of the month immediately (4) TIME FOR PAYMENT.—In promulgating production margin protection payments following the date of the announcement by the rules to initiate the production margin until the fees or premiums are fully paid. the Secretary under subsection (a). protection program, the Secretary shall pro- (b) ENFORCEMENT.—The Secretary may vide more than 1 method by which a partici- take such action as necessary to collect ad- SEC. 1433. MILK MARKETINGS INFORMATION. (a) COLLECTION OF MILK MARKETING pating dairy operation that purchases sup- ministration fees and premium payments for DATA.—The Secretary shall establish, by reg- plemental production margin protection for supplemental production margin protection. ulation, a process to collect from partici- a calendar year may pay the premium under Subpart B—Dairy Market Stabilization pating dairy operations and handlers such this subsection for that year in any manner Program information that the Secretary considers that maximizes participating dairy oper- SEC. 1431. ESTABLISHMENT OF DAIRY MARKET necessary for each month during which the ation payment flexibility and program integ- STABILIZATION PROGRAM. stabilization program is in effect. rity. (a) PROGRAM REQUIRED; PURPOSE.—Effec- (b) REDUCE REGULATORY BURDEN.—When (e) PREMIUM OBLIGATIONS.— tive not later than 120 days after the effec- implementing the process under subsection (1) PRO-RATION OF PREMIUM FOR NEW DAIRY tive date of this subtitle, the Secretary shall (a), the Secretary shall minimize the regu- OPERATIONS.—A participating dairy oper- establish and administer a dairy market sta- latory burden on participating dairy oper- ation described in section 1412(c)(2) that pur- bilization program applicable to partici- ations and handlers. chases supplemental production margin pro- pating dairy operations for the purpose of as- SEC. 1434. CALCULATION AND COLLECTION OF tection for a calendar year after the start of sisting in balancing the supply of milk with REDUCED DAIRY OPERATION PAY- the calendar year shall pay a pro-rated pre- demand when participating dairy operations MENTS. mium for that calendar year based on the are experiencing low or negative operating (a) REDUCED PARTICIPATING DAIRY OPER- portion of the calendar year for which the margins. ATION PAYMENTS REQUIRED.—During any participating dairy operation purchases the (b) ELECTION OF STABILIZATION PROGRAM month in which payment reductions are in coverage. BASE CALCULATION METHOD.— effect under the stabilization program, each (2) LEGAL OBLIGATION.—A participating (1) ELECTION.—When a dairy operation handler shall reduce payments to each par- dairy operation that purchases supplemental signs up under section 1412 to participate in ticipating dairy operation from whom the production margin protection for a calendar the production margin protection program, handler receives milk. year shall be legally obligated to pay the ap- the dairy operation shall inform the Sec- (b) REDUCTIONS BASED ON ACTUAL DAIRY plicable premium for that calendar year, ex- retary of the method by which the stabiliza- PRODUCTION MARGIN.— cept that the Secretary may waive that obli- tion program base for the participating dairy (1) REDUCTION REQUIREMENT 1.—If the Sec- gation, under terms and conditions deter- operation will be calculated under paragraph retary determines that the average actual mined by the Secretary, for 1 or more pro- (3). dairy production margin has been less than ducers in any participating dairy operation (2) CHANGE IN CALCULATION METHOD.—A par- $6.00 but greater than $5.00 per hundred- in the case of death, retirement, permanent ticipating dairy operation may change the weight of milk for 2 consecutive months, the dissolution of a participating dairy oper- stabilization program base calculation meth- handler shall make payments to a partici- ation, or other circumstances as the Sec- od to be used for a calendar year by noti- pating dairy operation for a month based on retary considers appropriate to ensure the fying the Secretary of the change not later the greater of the following: integrity of the program. than a date determined by the Secretary. (A) 98 percent of the stabilization program (f) SUPPLEMENTAL PAYMENT THRESHOLD.—A (3) CALCULATION METHODS.—A participating base of the participating dairy operation. participating dairy operation with supple- dairy operation may elect either of the fol- (B) 94 percent of the marketings of milk mental production margin protection shall lowing methods for calculation of the sta- for the month by the participating dairy op- receive a supplemental production margin bilization program base for the participating eration. protection payment whenever the average dairy operation: (2) REDUCTION REQUIREMENT 2.—If the Sec- actual dairy production margin for a con- (A) The volume of the average monthly retary determines that the average actual secutive 2-month period is less than the cov- milk marketings of the participating dairy dairy production margin has been less than erage level threshold selected by the partici- operation for the 3 months immediately pre- $5.00 but greater than $4.00 for 2 consecutive pating dairy operation under subsection (b). ceding the announcement by the Secretary months, the handler shall make payments to (g) SUPPLEMENTAL PRODUCTION MARGIN that the stabilization program will become a participating dairy operation for a month PROTECTION PAYMENTS.— effective. based on the greater of the following: (1) IN GENERAL.—The supplemental produc- (B) The volume of the monthly milk mar- (A) 97 percent of the stabilization program tion margin protection payment for a par- ketings of the participating dairy operation base of the participating dairy operation. ticipating dairy operation is in addition to for the same month in the preceding year as (B) 93 percent of the marketings of milk the basic production margin protection pay- the month for which the Secretary has an- for the month by the participating dairy op- ment. nounced the stabilization program will be- eration. (2) AMOUNT OF PAYMENT.—The supple- come effective. (3) REDUCTION REQUIREMENT 3.—If the Sec- mental production margin protection pay- SEC. 1432. THRESHOLD FOR IMPLEMENTATION retary determines that the average actual ment for the participating dairy operation AND REDUCTION IN DAIRY PAY- dairy production margin has been $4.00 or shall be determined as follows: MENTS. less for any 1 month, the handler shall make (A) The Secretary shall calculate the dif- (a) WHEN STABILIZATION PROGRAM RE- payments to a participating dairy operation ference between the coverage level threshold QUIRED.—Except as provided in subsection for a month based on the greater of the fol- selected by the participating dairy operation (b), the Secretary shall announce that the lowing: under subsection (b) and the greater of— stabilization program is in effect and order (A) 96 percent of the stabilization program (i) the average actual dairy production reduced payments by handlers to partici- base of the participating dairy operation. margin for the consecutive 2-month period; pating dairy operations that exceed the ap- (B) 92 percent of the marketings of milk or plicable percentage of the participating for the month by the participating dairy op- (ii) $4.00. dairy operation’s stabilization program base eration. (B) The amount determined under subpara- whenever— (c) CONTINUATION OF REDUCTIONS.—The graph (A) shall be multiplied by the percent- (1) the actual dairy production margin has largest level of payment reduction required age selected by the participating dairy oper- been $6.00 or less per hundredweight of milk under paragraph (1), (2), or (3) of subsection ation under subsection (c) and by the lesser for each of the immediately preceding 2 (b) shall be continued for each month until of the following: months; or the Secretary suspends the stabilization pro- (i) The annual production history of the (2) the actual dairy production margin has gram and terminates payment reductions in participating dairy operation, divided by 6. been $4.00 or less per hundredweight of milk accordance with section 1436. (ii) The actual amount of milk marketed for the immediately preceding month. (d) PAYMENT REDUCTION EXCEPTION.—Not- by the participating dairy operation during (b) EXCEPTION.—If any of the conditions de- withstanding any preceding subsection of the consecutive 2-month period. scribed in section 1436(b) have been met dur- this section, a handler shall make no pay- SEC. 1416. EFFECT OF FAILURE TO PAY ADMINIS- ing the 2-month period immediately pre- ment reductions for a participating dairy op- TRATION FEES OR PREMIUMS. ceding the month in which the announce- eration for a month if the participating (a) LOSS OF BENEFITS.—A participating ment under subsection (a) would otherwise dairy operation’s milk marketings for the dairy operation that fails to pay the required be made by the Secretary in the absence of month are equal to or less than the percent- administration fee under section 1412 or is in this exception, the Secretary shall— age of the stabilization program base appli- arrears on premium payments for supple- (1) suspend the stabilization program; cable to the participating dairy operation

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00079 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4010 CONGRESSIONAL RECORD — SENATE June 12, 2012 under paragraph (1), (2), or (3) of subsection $5.00) for 2 consecutive months, and during pliance by participating dairy operations and (b). the same 2 consecutive months— handlers with the stabilization program, the SEC. 1435. REMITTING FUNDS TO THE SEC- (A) the price in the United States for ched- Secretary may conduct periodic audits of RETARY AND USE OF FUNDS. dar cheese is equal to or greater than the participating dairy operations and handlers. (a) REMITTING FUNDS.—As soon as prac- world price of cheddar cheese; or (2) SAMPLE OF DAIRY OPERATIONS.—Any ticable after the end of each month during (B) the price in the United States for non- audit conducted under this subsection shall which payment reductions are in effect fat dry milk is equal to or greater than the include, at a minimum, investigation of a under the stabilization program, each han- world price of skim milk powder; statistically valid and random sample of par- dler shall remit to the Secretary an amount (3) the actual dairy production margin is ticipating dairy operations. equal to the amount by which payments to equal to or less than $5.00 (but greater than (b) SUBMISSION OF RESULTS.—The Sec- participating dairy operations are reduced $4.00) for 2 consecutive months, and during retary shall submit the results of any audit by the handler under section 1434. the same 2 consecutive months— conducted under subsection (a) to the Com- (b) DEPOSIT OF REMITTED FUNDS.—All funds (A) the price in the United States for ched- mittee on Agriculture of the House of Rep- received under subsection (a) shall be avail- dar cheese is more than 5 percent above the resentatives and the Committee on Agri- able to the Secretary, without further appro- world price of cheddar cheese; or culture, Nutrition, and Forestry of the Sen- priation and until expended, for use or trans- (B) the price in the United States for non- ate and include such recommendations as fer as provided in subsection (c). fat dry milk is more than 5 percent above the Secretary considers appropriate regard- (c) USE OF FUNDS.— the world price of skim milk powder; or ing the stabilization program. (1) AVAILABILITY FOR CERTAIN COMMODITY (4) the actual dairy production margin is SEC. 1439. STUDY; REPORT. DONATIONS.—Not later than 90 days after the equal to or less than $4.00 for 2 consecutive (a) IN GENERAL.—The Secretary shall di- funds described in subsection (a) are due as months, and during the same 2 consecutive rect the Office of the Chief Economist to determined by the Secretary, the Secretary months— conduct a study of the impacts of the pro- shall obligate the funds for the purpose of— (A) the price in the United States for ched- gram established under section 1431(a). (A) purchasing dairy products for donation dar cheese is more than 7 percent above the (b) CONSIDERATIONS.—The study conducted to food banks and other programs that the world price of cheddar cheese; or under subsection (a) shall consider— Secretary determines appropriate; and (B) the price in the United States for non- (1) the economic impact of the program (B) expanding consumption and building fat dry milk is more than 7 percent above throughout the dairy product value chain, demand for dairy products. the world price of skim milk powder. including the impact on producers, proc- (2) NO DUPLICATION OF EFFORT.—The Sec- (c) IMPLEMENTATION BY HANDLERS.—Effec- essors, domestic customers, export cus- retary shall ensure that expenditures under tive on the day after the date of the an- tomers, actual market growth and potential paragraph (1) are compatible with, and do nouncement by the Secretary under sub- market growth, farms of different sizes, and not duplicate, programs supported by the section (b) of the suspension of the stabiliza- different regions and States; and dairy research and promotion activities con- tion program, the handler shall cease reduc- (2) the impact of the program on the com- ducted under the Dairy Production Stabiliza- ing payments to participating dairy oper- petitiveness of the United States dairy in- tion Act of 1983 (7 U.S.C. 4501 et seq.). ations under the stabilization program. dustry in international markets. (3) ACCOUNTING.—The Secretary shall keep (d) CONDITION ON RESUMPTION OF STABILIZA- (c) REPORT.—Not later than December 1, an accurate account of all funds expended TION PROGRAM.—Upon the announcement by 2016, the Office of the Chief Economist shall under paragraph (1). the Secretary under subsection (b) that the submit to the Committee on Agriculture of (d) ANNUAL REPORT.—Not later than De- stabilization program has been suspended, the House of Representatives and the Com- cember 31 of each year that the stabilization the stabilization program may not be imple- mittee on Agriculture, Nutrition, and For- program is in effect, the Secretary shall sub- mented again until, at the earliest— estry of the Senate a report that describes mit to the Committee on Agriculture of the (1) 2 months have passed, beginning on the the results of the study conducted under sub- House of Representatives and the Committee first day of the month immediately fol- section (a). on Agriculture, Nutrition, and Forestry of lowing the announcement by the Secretary; Subpart C—Administration the Senate a report that provides an accu- and SEC. 1451. DURATION. rate accounting of— (2) the conditions of section 1432(a) are The production margin protection program (1) the funds received by the Secretary dur- again met. and the stabilization program shall end on ing the preceding fiscal year under sub- SEC. 1437. ENFORCEMENT. December 31, 2017. section (a); (a) UNLAWFUL ACT.—It shall be unlawful SEC. 1452. ADMINISTRATION AND ENFORCEMENT. (2) all expenditures made by the Secretary and a violation of the this subpart for any (a) IN GENERAL.—The Secretary shall pro- under subsection (b) during the preceding fis- person subject to the stabilization program mulgate regulations to address administra- cal year; and to willfully fail or refuse to provide, or delay tive and enforcement issues involved in car- (3) the impact of the stabilization program the timely reporting of, accurate informa- rying out the production margin protection, on dairy markets. tion and remittance of funds to the Sec- supplemental production margin protection, (e) ENFORCEMENT.—If a participating dairy retary in accordance with this subpart. and market stabilization programs. operation or handler fails to remit or collect (b) ORDER.—After providing notice and op- (b) RECONSTITUTION AND ELIGIBILITY the amounts by which payments to partici- portunity for a hearing to an affected person, ISSUES.— pating dairy operations are reduced under the Secretary may issue an order against (1) RECONSTITUTION.—Using authorities section 1434, the participating dairy oper- any person to cease and desist from con- under section 1001(f) and 1001B of the Food ation or handler responsible for the failure tinuing any violation of this subpart. Security Act of 1985 (7 U.S.C. 1308(f), 1308-2), shall be liable to the Secretary for the (c) APPEAL.—An order of the Secretary the Secretary shall promulgate regulations amount that should have been remitted or under subsection (b) shall be final and con- to prohibit a dairy producer from reconsti- collected, plus interest. In addition to the clusive unless an affected person files an ap- tuting a dairy operation for the sole purpose enforcement authorities available under sec- peal of the order of the Secretary in United of the dairy producer— tion 1437, the Secretary may enforce this States district court not later than 30 days (A) receiving basic margin protection; subsection in the courts of the United after the date of the issuance of the order. A (B) purchasing supplemental margin pro- States. finding of the Secretary in the order shall be tection; or SEC. 1436. SUSPENSION OF REDUCED PAYMENT set aside only if the finding is not supported (C) avoiding participation in the market REQUIREMENT. by substantial evidence. stabilization program. (a) DETERMINATION OF PRICES.—For pur- (d) NONCOMPLIANCE WITH ORDER.—If a per- (2) ELIGIBILITY ISSUES.—Using authorities poses of this section: son subject to this subpart fails to obey an under section 1001(f) and 1001B of the Food (1) The price in the United States for ched- order issued under subsection (b) after the Security Act of 1985 (7 U.S.C. 1308(f), 1308-2), dar cheese and nonfat dry milk shall be de- order has become final and unappealable, or the Secretary shall promulgate regulations— termined by the Secretary. after the appropriate United States district (A) to prohibit a scheme or device; (2) The world price of cheddar cheese and court has entered a final judgment in favor (B) to provide for equitable relief; and skim milk powder shall be determined by the of the Secretary, the United States may (C) to provide for other issues affecting eli- Secretary. apply to the appropriate United States dis- gibility and liability issues. (b) SUSPENSION THRESHOLDS.—The sta- trict court for enforcement of the order. If (3) ADMINISTRATIVE APPEALS.—Using au- bilization program shall be suspended or the the court determines that the order was law- thorities under section 1001(h) of the Food Secretary shall refrain from making the an- fully made and duly served and that the per- Security Act of 1985 (7 U.S.C. 1308(h)) and nouncement under section 1432(a) if the Sec- son violated the order, the court shall en- subtitle H of the Department of Agriculture retary determines that— force the order. Reorganization Act (7 U.S.C. 6991 et seq.), the (1) the actual dairy production margin is SEC. 1438. AUDIT REQUIREMENTS. Secretary shall promulgate regulations to greater than $6.00 per hundredweight of milk (a) AUDITS OF DAIRY OPERATION AND HAN- provide for administrative appeals of deci- for 2 consecutive months; DLER COMPLIANCE.— sions of the Secretary that are adverse to (2) the actual dairy production margin is (1) AUDITS AUTHORIZED.—If determined by participants of the programs described in equal to or less than $6.00 (but greater than the Secretary to be necessary to ensure com- subsection (a).

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00080 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4011 PART II—DAIRY MARKET TRANSPARENCY PART III—REPEAL OR REAUTHORIZATION the agricultural production of crops or live- OF OTHER DAIRY-RELATED PROVISIONS stock. SEC. 1461. DAIRY PRODUCT MANDATORY RE- (B) DESCRIPTION.—An individual or entity PORTING. SEC. 1471. REPEAL OF DAIRY PRODUCT PRICE SUPPORT AND MILK INCOME LOSS referred to in subparagraph (A) is— (a) DEFINITIONS.—Section 272(1)(A) of the CONTRACT PROGRAMS. (i) a citizen of the United States; Agricultural Marketing Act of 1946 (7 U.S.C. (a) REPEAL OF DAIRY PRODUCT PRICE SUP- (ii) a resident alien; 1637a(1)(A)) is amended by inserting ‘‘, or any PORT PROGRAM.—Section 1501 of the Food, (iii) a partnership of citizens of the United other products that may significantly aid Conservation, and Energy Act of 2008 (7 States; or price discovery in the dairy markets, as de- U.S.C. 8771) is repealed. (iv) a corporation, limited liability cor- termined by the Secretary’’ after ‘‘of 1937’’. (b) REPEAL OF MILK INCOME LOSS CONTRACT poration, or other farm organizational struc- (b) MANDATORY REPORTING FOR DAIRY PROGRAM.— ture organized under State law. PRODUCTS.—Section 273(b) of the Agricul- (1) PAYMENTS UNDER MILK INCOME LOSS CON- (2) FARM.— tural Marketing Act of 1946 (7 U.S.C. TRACT PROGRAM.—Section 1506(c)(3) of the (A) IN GENERAL.—The term ‘‘farm’’ means, 1637b(b)) is amended— Food, Conservation, and Energy Act of 2008 in relation to an eligible producer on a farm, (1) by striking paragraph (1) and inserting (7 U.S.C. 8773(c)(3)) is amended— the total of all crop acreage in all counties the following new paragraph: (A) in subparagraph (A), by inserting that is planted or intended to be planted for harvest, for sale, or on-farm livestock feed- ‘‘(1) IN GENERAL.—In establishing the pro- ‘‘and’’ after the semicolon; gram, the Secretary shall only— (B) in subparagraph (B), by striking ‘‘Au- ing (including native grassland intended for ‘‘(A)(i) subject to the conditions described gust 31, 2012, 45 percent; and’’ and inserting haying) by the eligible producer. in paragraph (2), require each manufacturer ‘‘June 30, 2013, 45 percent.’’; and (B) AQUACULTURE.—In the case of aqua- culture, the term ‘‘farm’’ means, in relation to report to the Secretary, no less frequently (C) by striking subparagraph (C). to an eligible producer on a farm, all fish than once per month, information con- (2) EXTENSION.—Section 1506(h)(1) of the being produced in all counties that are in- cerning the price, quantity, and moisture Food, Conservation, and Energy Act of 2008 tended to be harvested for sale by the eligi- content of dairy products sold by the manu- (7 U.S.C. 8773(h)(1)) is amended by striking ble producer. facturer and any other product characteris- ‘‘September 30, 2012’’ and inserting ‘‘June 30, (C) HONEY.—In the case of honey, the term tics that may significantly aid price dis- 2013’’. ‘‘farm’’ means, in relation to an eligible pro- covery in the dairy markets, as determined (3) REPEAL.—Effective July 1, 2013, section ducer on a farm, all bees and beehives in all by the Secretary; and 1506 of the Food, Conservation, and Energy counties that are intended to be harvested ‘‘(ii) modify the format used to provide the Act of 2008 (7 U.S.C. 8773) is repealed. for a honey crop for sale by the eligible pro- information on the day before the date of en- SEC. 1472. REPEAL OF DAIRY EXPORT INCENTIVE ducer. actment of this subtitle to ensure that the PROGRAM. (3) FARM-RAISED FISH.—The term ‘‘farm- (a) REPEAL.—Section 153 of the Food Secu- information can be readily understood by raised fish’’ means any aquatic species that rity Act of 1985 (15 U.S.C. 713a–14) is repealed. market participants; and is propagated and reared in a controlled en- (b) CONFORMING AMENDMENTS.—Section ‘‘(B) require each manufacturer and other vironment. person storing dairy products (including 902(2) of the Trade Sanctions Reform and Ex- (4) LIVESTOCK.—The term ‘‘livestock’’ in- port Enhancement Act of 2000 (22 U.S.C. dairy products in cold storage) to report to cludes— the Secretary, no less frequently than once 7201(2)) is amended— (A) cattle (including dairy cattle); per month, information on the quantity of (1) by striking subparagraph (D); and (B) bison; dairy products stored.’’; and (2) by redesignating subparagraphs (E) and (C) poultry; (2) in paragraph (2), by inserting ‘‘or those (F) as subparagraphs (D) and (E), respec- (D) sheep; that may significantly aid price discovery in tively. (E) swine; the dairy markets’’ after ‘‘Federal milk mar- SEC. 1473. EXTENSION OF DAIRY FORWARD PRIC- (F) horses; and keting order’’ each place it appears in sub- ING PROGRAM. (G) other livestock, as determined by the paragraphs (A), (B), and (C). Section 1502(e) of the Food, Conservation, Secretary. and Energy Act of 2008 (7 U.S.C. 8772(e)) is SEC. 1462. FEDERAL MILK MARKETING ORDER IN- (b) LIVESTOCK INDEMNITY PAYMENTS.— FORMATION. amended— (1) PAYMENTS.—For each of fiscal years (1) in paragraph (1), by striking ‘‘2012’’ and 2012 through 2017, the Secretary shall use (a) INFORMATION CLEARINGHOUSE.— inserting ‘‘2017’’; and such sums as are necessary of the funds of (1) IN GENERAL.—The Secretary shall, on (2) in paragraph (2), by striking ‘‘2015’’ and the Commodity Credit Corporation to make behalf of each milk marketing order issued inserting ‘‘2020’’. livestock indemnity payments to eligible under the Agricultural Adjustment Act (7 SEC. 1474. EXTENSION OF DAIRY INDEMNITY producers on farms that have incurred live- U.S.C. 601 et seq.), reenacted with amend- PROGRAM. stock death losses in excess of the normal ments by the Agricultural Marketing Agree- Section 3 of Public Law 90–484 (7 U.S.C. mortality, as determined by the Secretary, ment Act of 1937, establish an information 450l) is amended by striking ‘‘2012’’ and in- due to— clearinghouse for the purposes of educating serting ‘‘2017’’. (A) attacks by animals reintroduced into the public about the Federal milk marketing SEC. 1475. EXTENSION OF DAIRY PROMOTION the wild by the Federal Government or pro- order system and any marketing order AND RESEARCH PROGRAM. tected by Federal law, including wolves; or referenda, including proposal information Section 113(e)(2) of the Dairy Production (B) adverse weather, as determined by the and timelines that shall be kept current and Stabilization Act of 1983 (7 U.S.C. 4504(e)(2)) Secretary, during the calendar year, includ- updated as information becomes available. is amended by striking ‘‘2012’’ and inserting ing losses due to hurricanes, floods, bliz- (2) REQUIREMENTS.—Information under ‘‘2017’’. zards, disease, wildfires, extreme heat, and paragraph (1) shall include— extreme cold. (A) information on procedures by which co- SEC. 1476. EXTENSION OF FEDERAL MILK MAR- KETING ORDER REVIEW COMMIS- (2) PAYMENT RATES.—Indemnity payments operatives vote; SION. to an eligible producer on a farm under para- (B) if applicable, information on the man- Section 1509(a) of the Food, Conservation, graph (1) shall be made at a rate of 65 per- ner by which producers may cast an indi- and Energy Act of 2008 (Public Law 110–246; cent of the market value of the applicable vidual ballot; 122 Stat. 1726) is amended by inserting ‘‘or livestock on the day before the date of death (C) in applicable, instructions on the man- other funds’’ after ‘‘Subject to the avail- of the livestock, as determined by the Sec- ner in which to vote online; ability of appropriations’’. retary. (D) due dates for each specific referendum; (3) SPECIAL RULE FOR PAYMENTS MADE DUE (E) the text of each referendum question PART IV—EFFECTIVE DATE TO DISEASE SEC. 1481. EFFECTIVE DATE. .—The Secretary shall ensure that under consideration; payments made to an eligible producer under Except as otherwise provided in this sub- (F) a description in plain language of the paragraph (1) are not made for the same live- title, this subtitle and the amendments made question; stock losses for which compensation is pro- by this subtitle take effect on October 1, (G) any relevant background information vided pursuant to section 10407(d) of the Ani- 2012. to the question; and mal Health Protection Act (7 U.S.C. 8306(d)). (H) any other information that increases Subtitle E—Supplemental Agricultural (c) LIVESTOCK FORAGE DISASTER PRO- Federal milk marketing order transparency. Disaster Assistance Programs GRAM.— (b) NOTIFICATION LIST FOR UPCOMING REF- SEC. 1501. SUPPLEMENTAL AGRICULTURAL DIS- (1) ESTABLISHMENT.—There is established a ERENDUM.—Each Federal milk marketing ASTER ASSISTANCE PROGRAMS. livestock forage disaster program to provide order shall— (a) DEFINITIONS.—In this section: 1 source for livestock forage disaster assist- (1) make available the information de- (1) ELIGIBLE PRODUCER ON A FARM.— ance for weather-related forage losses, as de- scribed in subsection (b) through an Internet (A) IN GENERAL.—The term ‘‘eligible pro- termined by the Secretary, by combining— site; and ducer on a farm’’ means an individual or en- (A) the livestock forage assistance func- (2) publicize the information in major agri- tity described in subparagraph (B) that, as tions of— culture and dairy-specific publications on determined by the Secretary, assumes the (i) the noninsured crop disaster assistance upcoming referenda. production and market risks associated with program established by section 196 of the

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Federal Agriculture Improvement and Re- pastureland for livestock during the normal (iii) CORN PRICE PER POUND.—For purposes form Act of 1996 (7 U.S.C. 7333); and grazing period, in the absence of an eligible of clause (i)(III), the corn price per pound (ii) the emergency assistance for livestock, forage loss that diminishes the production of shall equal the quotient obtained by divid- honey bees, and farm-raised fish program the grazing land or pastureland. ing— under section 531(e) of the Federal Crop In- (F) NORMAL GRAZING PERIOD.—The term (I) the higher of— surance Act (7 U.S.C. 1531(e)) (as in existence ‘‘normal grazing period’’, with respect to a (aa) the national average corn price per on the day before the date of enactment of county, means the normal grazing period bushel for the 12-month period immediately this Act); and during the calendar year for the county, as preceding March 1 of the year for which the (B) the livestock forage disaster program determined under paragraph (4)(D)(i). disaster assistance is calculated; or under section 531(d) of the Federal Crop In- (3) PROGRAM.—For each of fiscal years 2012 (bb) the national average corn price per surance Act (7 U.S.C. 1531(d)) (as in existence through 2017, the Secretary shall use such bushel for the 24-month period immediately on the day before the date of enactment of sums as are necessary of the funds of the preceding that March 1; by this Act). Commodity Credit Corporation to provide (II) 56. (2) DEFINITIONS.—In this subsection: compensation under paragraphs (4) through (D) NORMAL GRAZING PERIOD AND DROUGHT (A) COVERED LIVESTOCK.— (6), as determined by the Secretary for eligi- MONITOR INTENSITY.— (i) IN GENERAL.—Except as provided in ble forage losses affecting covered livestock (i) FSA COUNTY COMMITTEE DETERMINA- clause (ii), the term ‘‘covered livestock’’ of eligible livestock producers. TIONS.— means livestock of an eligible livestock pro- (I) IN GENERAL.—The Secretary shall deter- (4) ASSISTANCE FOR ELIGIBLE FORAGE LOSSES ducer that, during the 60 days prior to the mine the normal carrying capacity and nor- DUE TO DROUGHT CONDITIONS.— beginning date of an eligible forage loss, as mal grazing period for each type of grazing (A) ELIGIBLE FORAGE LOSSES.— determined by the Secretary, the eligible land or pastureland in the county served by (i) IN GENERAL.—An eligible livestock pro- livestock producer— the applicable Farm Service Agency com- ducer of covered livestock may receive as- (I) owned; mittee. sistance under this paragraph for eligible (II) leased; (II) CHANGES.—No change to the normal forage losses that occur due to drought on (III) purchased; carrying capacity or normal grazing period land that— (IV) entered into a contract to purchase; established for a county under subclause (I) (V) was a contract grower; or (I) is native or improved pastureland with shall be made unless the change is requested (VI) sold or otherwise disposed of due to an permanent vegetative cover; or by the appropriate State and county Farm eligible forage loss during— (II) is planted to a crop planted specifically Service Agency committees. for the purpose of providing grazing for cov- (aa) the current production year; or (ii) DROUGHT INTENSITY.— ered livestock. (bb) subject to paragraph (4)(B)(ii), 1 or (I) D2.—An eligible livestock producer that both of the 2 production years immediately (ii) EXCLUSIONS.—An eligible livestock pro- owns or leases grazing land or pastureland preceding the current production year. ducer may not receive assistance under this that is physically located in a county that is (ii) EXCLUSION.—The term ‘‘covered live- paragraph for eligible forage losses that rated by the U.S. Drought Monitor as having stock’’ does not include livestock that were occur on land used for haying or grazing a D2 (severe drought) intensity in any area or would have been in a feedlot, on the begin- under the conservation reserve program es- of the county for at least 8 consecutive ning date of the eligible forage loss, as a part tablished under subchapter B of chapter 1 of weeks during the normal grazing period for of the normal business operation of the eligi- subtitle D of title XII of the Food Security the county, as determined by the Secretary, ble livestock producer, as determined by the Act of 1985 (16 U.S.C. 3831 et seq.), unless the shall be eligible to receive assistance under Secretary. land is grassland eligible for the conserva- this paragraph in an amount equal to 1 (B) DROUGHT MONITOR.—The term ‘‘drought tion reserve program under section 1231(d)(2) monthly payment using the monthly pay- monitor’’ means a system for classifying of the Food Security Act of 1985 (16 U.S.C. ment rate determined under subparagraph drought severity according to a range of ab- 3831(d)(2)) (as amended by section 2001 of this (B). normally dry to exceptional drought, as de- Act). (II) D3.—An eligible livestock producer fined by the Secretary. (B) MONTHLY PAYMENT RATE.— that owns or leases grazing land or (C) ELIGIBLE FORAGE LOSS.—The term ‘‘eli- (i) IN GENERAL.—Except as provided in pastureland that is physically located in a gible forage loss’’ means 1 or more forage clause (ii), the payment rate for assistance county that is rated by the U.S. Drought losses that occur due to weather-related con- for 1 month under this paragraph shall, in Monitor as having at least a D3 (extreme ditions, including drought, flood, blizzard, the case of drought, be equal to 60 percent of drought) intensity in any area of the county hail, excessive moisture, hurricane, and fire, the lesser of— at any time during the normal grazing pe- occurring during the normal grazing period, (I) the monthly feed cost for all covered riod for the county, as determined by the as determined by the Secretary, if the for- livestock owned or leased by the eligible Secretary, shall be eligible to receive assist- age— livestock producer, as determined under sub- ance under this paragraph— (i) is grown on land that is native or im- paragraph (C); or (aa) in an amount equal to 3 monthly pay- proved pastureland with permanent vegeta- (II) the monthly feed cost calculated by ments using the monthly payment rate de- tive cover; or using the normal carrying capacity of the el- termined under subparagraph (B); (ii) is a crop planted specifically for the igible grazing land of the eligible livestock (bb) if the county is rated as having a D3 purpose of providing grazing for covered live- producer. (extreme drought) intensity in any area of stock of an eligible livestock producer. (ii) PARTIAL COMPENSATION.—In the case of the county for at least 4 weeks during the (D) ELIGIBLE LIVESTOCK PRODUCER.— an eligible livestock producer that sold or normal grazing period for the county, or is (i) IN GENERAL.—The term ‘‘eligible live- otherwise disposed of covered livestock due rated as having a D4 (exceptional drought) stock producer’’ means an eligible producer to drought conditions in 1 or both of the 2 intensity in any area of the county at any on a farm that— production years immediately preceding the time during the normal grazing period, in an (I) is an owner, cash or share lessee, or con- current production year, as determined by amount equal to 4 monthly payments using tract grower of covered livestock that pro- the Secretary, the payment rate shall be 80 the monthly payment rate determined under vides the pastureland or grazing land, includ- percent of the payment rate otherwise cal- subparagraph (B); or ing cash-leased pastureland or grazing land, culated in accordance with clause (i). (cc) if the county is rated as having a D4 for the covered livestock; (C) MONTHLY FEED COST.— (exceptional drought) intensity in any area (II) provides the pastureland or grazing (i) IN GENERAL.—The monthly feed cost of the county for at least 4 weeks during the land for covered livestock, including cash- shall equal the product obtained by multi- normal grazing period, in an amount equal leased pastureland or grazing land that is plying— to 5 monthly payments using the monthly physically located in a county affected by an (I) 30 days; rate determined under subparagraph (B). eligible forage loss; (II) a payment quantity that is equal to (5) ASSISTANCE FOR LOSSES DUE TO FIRE ON (III) certifies the eligible forage loss; and the feed grain equivalent, as determined PUBLIC MANAGED LAND.— (IV) meets all other eligibility require- under clause (ii); and (A) IN GENERAL.—An eligible livestock pro- ments established under this subsection. (III) a payment rate that is equal to the ducer may receive assistance under this (ii) EXCLUSION.—The term ‘‘eligible live- corn price per pound, as determined under paragraph only if— stock producer’’ does not include an owner, clause (iii). (i) the eligible forage losses occur on cash or share lessee, or contract grower of (ii) FEED GRAIN EQUIVALENT.—For purposes rangeland that is managed by a Federal livestock that rents or leases pastureland or of clause (i)(II), the feed grain equivalent agency; and grazing land owned by another person on a shall equal— (ii) the eligible livestock producer is pro- rate-of-gain basis. (I) in the case of an adult beef cow, 15.7 hibited by the Federal agency from grazing (E) NORMAL CARRYING CAPACITY.—The term pounds of corn per day; or the normal permitted livestock on the man- ‘‘normal carrying capacity’’, with respect to (II) in the case of any other type of weight aged rangeland due to a fire. each type of grazing land or pastureland in a of livestock, an amount determined by the (B) PAYMENT RATE.—The payment rate for county, means the normal carrying capacity, Secretary that represents the average num- assistance under this paragraph shall be as determined under paragraph (4)(D)(i), that ber of pounds of corn per day necessary to equal to 50 percent of the monthly feed cost would be expected from the grazing land or feed the livestock. for the total number of livestock covered by

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the Federal lease of the eligible livestock (3) AVAILABILITY OF FUNDS.—Any funds (A) DEFINITIONS OF LEGAL ENTITY AND PER- producer, as determined under paragraph made available under this subsection shall SON.—In this subsection, the terms ‘‘legal en- (4)(C). remain available until expended. tity’’ and ‘‘person’’ have the meanings given (C) PAYMENT DURATION.— (e) TREE ASSISTANCE PROGRAM.— those terms in section 1001(a) of the Food Se- (i) IN GENERAL.—Subject to clause (ii), an (1) DEFINITIONS.—In this subsection: curity Act of 1985 (7 U.S.C. 1308(a)). eligible livestock producer shall be eligible (A) ELIGIBLE ORCHARDIST.—The term ‘‘eli- (B) AMOUNT.—The total amount of disaster to receive assistance under this paragraph gible orchardist’’ means a person that pro- assistance payments received, directly or in- for the period— duces annual crops from trees for commer- directly, by a person or legal entity (exclud- (I) beginning on the date on which the Fed- cial purposes. ing a joint venture or general partnership) eral agency excludes the eligible livestock (B) NATURAL DISASTER.—The term ‘‘natural under this section (excluding payments re- producer from using the managed rangeland disaster’’ means plant disease, insect infesta- ceived under subsection (e)) may not exceed for grazing; and tion, drought, fire, freeze, flood, earthquake, $100,000 for any crop year. (II) ending on the last day of the Federal lightning, or other occurrence, as deter- (C) DIRECT ATTRIBUTION.—Subsections (d) lease of the eligible livestock producer. mined by the Secretary. and (e) of section 1001 of the Food Security (ii) LIMITATION.—An eligible livestock pro- (C) NURSERY TREE GROWER.—The term Act of 1985 (7 U.S.C. 1308) or any successor ducer may only receive assistance under this ‘‘nursery tree grower’’ means a person who provisions relating to direct attribution paragraph for losses that occur on not more produces nursery, ornamental, fruit, nut, or shall apply with respect to assistance pro- than 180 days per year. Christmas trees for commercial sale, as de- vided under this section. (6) ASSISTANCE FOR ELIGIBLE FORAGE LOSSES termined by the Secretary. (2) PAYMENT DELIVERY.—The Secretary DUE TO OTHER THAN DROUGHT OR FIRE .— (D) TREE.—The term ‘‘tree’’ includes a shall make payments under this section (A) ELIGIBLE FORAGE LOSSES.— tree, bush, and vine. after October 1, 2013, for losses incurred in (i) IN GENERAL.—Subject to subparagraph (2) ELIGIBILITY.— the 2012 and 2013 fiscal years, and as soon as (B), an eligible livestock producer of covered (A) LOSS.—Subject to subparagraph (B), for practicable for losses incurred in any year livestock may receive assistance under this each of fiscal years 2012 through 2017, the thereafter. paragraph for eligible forage losses that Secretary shall use such sums as are nec- occur due to weather-related conditions Subtitle F—Administration essary of the funds of the Commodity Credit other than drought or fire on land that— Corporation to provide assistance— SEC. 1601. ADMINISTRATION GENERALLY. (I) is native or improved pastureland with (i) under paragraph (3) to eligible orchard- (a) USE OF COMMODITY CREDIT CORPORA- permanent vegetative cover; or ists and nursery tree growers that planted TION.—The Secretary shall use the funds, fa- (II) is planted to a crop planted specifically trees for commercial purposes but lost the cilities, and authorities of the Commodity for the purpose of providing grazing for cov- trees as a result of a natural disaster, as de- Credit Corporation to carry out this title. ered livestock. termined by the Secretary; and (b) DETERMINATIONS BY SECRETARY.—A de- (ii) EXCLUSIONS.—An eligible livestock pro- (ii) under paragraph (3)(B) to eligible or- termination made by the Secretary under ducer may not receive assistance under this chardists and nursery tree growers that have this title shall be final and conclusive. paragraph for eligible forage losses that occur on land used for haying or grazing a production history for commercial pur- (c) REGULATIONS.— under the conservation reserve program es- poses on planted or existing trees but lost (1) IN GENERAL.—Except as otherwise pro- tablished under subchapter B of chapter 1 of the trees as a result of a natural disaster, as vided in this subsection, not later than 90 subtitle D of title XII of the Food Security determined by the Secretary. days after the date of enactment of this Act, Act of 1985 (16 U.S.C. 3831 et seq.), unless the (B) LIMITATION.—An eligible orchardist or the Secretary and the Commodity Credit land is grassland eligible for the conserva- nursery tree grower shall qualify for assist- Corporation, as appropriate, shall promul- tion reserve program under section 1231(d)(2) ance under subparagraph (A) only if the tree gate such regulations as are necessary to im- of the Food Security Act of 1985 (16 U.S.C. mortality of the eligible orchardist or nurs- plement this title and the amendments made 3831(d)(2)) (as amended by section 2001 of this ery tree grower, as a result of damaging by this title. Act). weather or related condition, exceeds 15 per- (2) PROCEDURE.—The promulgation of the (B) PAYMENTS FOR ELIGIBLE FORAGE cent (adjusted for normal mortality). regulations and administration of this title LOSSES.— (3) ASSISTANCE.—Subject to paragraph (4), and the amendments made by this title and (i) IN GENERAL.—The Secretary shall pro- the assistance provided by the Secretary to sections 11001 and 11011 of this Act shall be vide assistance under this paragraph to an eligible orchardists and nursery tree growers made without regard to— eligible livestock producer for eligible forage for losses described in paragraph (2) shall (A) the notice and comment provisions of losses that occur due to weather-related con- consist of— section 553 of title 5, United States Code; ditions other than— (A)(i) reimbursement of 65 percent of the (B) chapter 35 of title 44, United States (I) drought under paragraph (4); and cost of replanting trees lost due to a natural Code (commonly known as the ‘‘Paperwork (II) fire on public managed land under disaster, as determined by the Secretary, in Reduction Act’’); and paragraph (5). excess of 15 percent mortality (adjusted for (C) the Statement of Policy of the Sec- (ii) TERMS AND CONDITIONS.—The Secretary normal mortality); or retary of Agriculture effective July 24, 1971 shall establish terms and conditions for as- (ii) at the option of the Secretary, suffi- (36 Fed. Reg. 13804), relating to notices of sistance under this paragraph that are con- cient seedlings to reestablish a stand; and proposed rulemaking and public participa- sistent with the terms and conditions for as- (B) reimbursement of 50 percent of the cost tion in rulemaking. sistance under this subsection. of pruning, removal, and other costs incurred (3) CONGRESSIONAL REVIEW OF AGENCY RULE- (7) NO DUPLICATIVE PAYMENTS.—An eligible by an eligible orchardist or nursery tree MAKING.—In carrying out this subsection, the livestock producer may elect to receive as- grower to salvage existing trees or, in the Secretary shall use the authority provided sistance for eligible forage losses under ei- case of tree mortality, to prepare the land to under section 808 of title 5, United States ther paragraph (4), (5), or (6), if applicable, replant trees as a result of damage or tree Code. but may not receive assistance under more mortality due to a natural disaster, as deter- (d) ADJUSTMENT AUTHORITY RELATED TO than 1 of those paragraphs for the same loss, mined by the Secretary, in excess of 15 per- TRADE AGREEMENTS COMPLIANCE.— as determined by the Secretary. cent damage or mortality (adjusted for nor- (1) REQUIRED DETERMINATION; ADJUST- (8) DETERMINATIONS BY SECRETARY.—A de- mal tree damage and mortality). MENT.—If the Secretary determines that ex- termination made by the Secretary under (4) LIMITATIONS ON ASSISTANCE.— penditures under this title that are subject this subsection shall be final and conclusive. (A) DEFINITIONS OF LEGAL ENTITY AND PER- to the total allowable domestic support lev- (d) EMERGENCY ASSISTANCE FOR LIVESTOCK, SON.—In this paragraph, the terms ‘‘legal en- els under the Uruguay Round Agreements (as HONEY BEES, AND FARM-RAISED FISH.— tity’’ and ‘‘person’’ have the meaning given defined in section 2 of the Uruguay Round (1) IN GENERAL.—For each of fiscal years those terms in section 1001(a) of the Food Se- Agreements Act (19 U.S.C. 3501)) will exceed 2012 through 2017, the Secretary shall use not curity Act of 1985 (7 U.S.C. 1308(a)). the allowable levels for any applicable re- more than $5,000,000 of the funds of the Com- (B) AMOUNT.—The total amount of pay- porting period, the Secretary shall, to the modity Credit Corporation to provide emer- ments received, directly or indirectly, by a maximum extent practicable, make adjust- gency relief to eligible producers of live- person or legal entity (excluding a joint ven- ments in the amount of the expenditures stock, honey bees, and farm-raised fish to aid ture or general partnership) under this sub- during that period to ensure that the expend- in the reduction of losses due to disease, ad- section may not exceed $100,000 for any crop itures do not exceed the allowable levels. verse weather, or other conditions, such as year, or an equivalent value in tree seed- (2) CONGRESSIONAL NOTIFICATION.—Before blizzards and wildfires, as determined by the lings. making any adjustment under paragraph (1), Secretary, that are not covered under sub- (C) ACRES.—The total quantity of acres the Secretary shall submit to the Committee section (b) or (c). planted to trees or tree seedlings for which a on Agriculture of the House of Representa- (2) USE OF FUNDS.—Funds made available person or legal entity shall be entitled to re- tives and the Committee on Agriculture, Nu- under this subsection shall be used to reduce ceive payments under this subsection may trition, and Forestry of the Senate a report losses caused by feed or water shortages, dis- not exceed 500 acres. describing the determination made under ease, or other factors as determined by the (f) PAYMENTS.— that paragraph and the extent of the adjust- Secretary. (1) PAYMENT LIMITATIONS.— ment to be made.

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SUSPENSION OF PERMANENT PRICE inserting ‘‘, title I of the Agriculture Re- (i) by striking ‘‘(5)’’ and all that follows SUPPORT AUTHORITY. form, Food, and Jobs Act of 2012, or title through ‘‘(A) IN GENERAL.—A person’’ and in- (a) AGRICULTURAL ADJUSTMENT ACT OF XII’’; serting the following: 1938.—The following provisions of the Agri- (ii) in paragraph (2), by striking ‘‘Sub- ‘‘(5) CUSTOM FARMING SERVICES.—A per- cultural Adjustment Act of 1938 shall not be sections (b) and (c)’’ and inserting ‘‘Sub- son’’; applicable to the 2013 through 2017 crops of section (b)’’; (ii) by inserting ‘‘under usual and cus- covered commodities (as defined in section (iii) in paragraph (4)(B), by striking ‘‘sub- tomary terms’’ after ‘‘services’’; and 1104), cotton, and sugar and shall not be ap- section (b) or (c)’’ and inserting ‘‘subsection (iii) by striking subparagraph (B); and plicable to milk during the period beginning (b)’’; (D) by adding at the end the following: on the date of enactment of this Act through (iv) in paragraph (5)— ‘‘(7) FARM MANAGERS.—A person who other- December 31, 2017: (I) in subparagraph (A), by striking ‘‘sub- wise meets the requirements of this sub- (1) Parts II through V of subtitle B of title section (d)’’ and inserting ‘‘subsection (c)’’; section other than (b)(2)(A)(i)(II) shall be III (7 U.S.C. 1326 et seq.). and considered to be actively engaged in farm- (2) In the case of upland cotton, section 377 (II) in subparagraph (B), by striking ‘‘sub- ing, as determined by the Secretary, with re- (7 U.S.C. 1377). section (b), (c), or (d)’’ and inserting ‘‘sub- spect to the farming operation, including a (3) Subtitle D of title III (7 U.S.C. 1379a et section (b) or (c)’’; and farming operation that is a sole proprietor- seq.). (v) in paragraph (6)— ship, a legal entity such as a joint venture or (4) Title IV (7 U.S.C. 1401 et seq.). (I) in subparagraph (A), by striking ‘‘sub- general partnership, or a legal entity such as (b) AGRICULTURAL ACT OF 1949.—The fol- section (d), except as provided in subsection lowing provisions of the Agricultural Act of a corporation or limited partnership, if the (g)’’ and inserting ‘‘subsection (c), except as person— 1949 shall not be applicable to the 2013 provided in subsection (f)’’; and through 2017 crops of covered commodities ‘‘(A) makes a significant contribution of (II) in subparagraph (B), by striking ‘‘sub- (as defined in section 1104), cotton, and sugar management to the farming operation nec- sections (b), (c), and (d)’’ and inserting ‘‘sub- and shall not be applicable to milk during essary for the farming operation, taking into sections (b) and (c)’’; the period beginning on the date of enact- account— (E) in subsection (g)— ment of this Act and through December 31, ‘‘(i) the size and complexity of the farming (i) in paragraph (1)— 2017: operation; and (I) bv striking ‘‘subsection (f)(6)(A)’’ and (1) Section 101 (7 U.S.C. 1441). ‘‘(ii) the management requirements nor- inserting ‘‘subsection (e)(6)(A)’’ and (2) Section 103(a) (7 U.S.C. 1444(a)). mally and customarily required by similar (II) by striking ‘‘subsection (b) or (c)’’ and (3) Section 105 (7 U.S.C. 1444b). farming operations; inserting ‘‘subsection (b)’’; and (4) Section 107 (7 U.S.C. 1445a). ‘‘(B) is the only person in the farming oper- (ii) in paragraph (2)(A), by striking ‘‘sub- (5) Section 110 (7 U.S.C. 1445e). ation qualifying as actively engaged in farm- sections (b) and (c)’’ and inserting ‘‘sub- (6) Section 112 (7 U.S.C. 1445g). ing; section (b)’’; and (7) Section 115 (7 U.S.C. 1445k). ‘‘(C) does not use the management con- (F) by redesignating subsections (d) (8) Section 201 (7 U.S.C. 1446). tribution under this paragraph to qualify as through (h) as subsections (c) through (g), re- (9) Title III (7 U.S.C. 1447 et seq.). actively engaged in more than 1 farming op- spectively. (10) Title IV (7 U.S.C. 1421 et seq.), other eration; and (2) Section 1001A of the Food Security Act than sections 404, 412, and 416 (7 U.S.C. 1424, ‘‘(D) manages a farm operation that does of 1985 (7 U.S.C. 1308–1) is amended— 1429, and 1431). not substantially share equipment, labor, or (A) in subsection (a), by striking ‘‘sub- (11) Title V (7 U.S.C. 1461 et seq.). management with persons or legal entities sections (b) and (c)’’ and inserting ‘‘sub- (12) Title VI (7 U.S.C. 1471 et seq.). that with the person collectively receive, di- section (b)’’; and (c) SUSPENSION OF CERTAIN QUOTA PROVI- rectly or indirectly, an amount equal to (B) in subsection (b)(1), by striking ‘‘sub- SIONS.—The joint resolution entitled ‘‘A more than the applicable limits under sec- section (b) or (c)’’ and inserting ‘‘subsection joint resolution relating to corn and wheat tion 1001(b).’’. marketing quotas under the Agricultural Ad- (b)’’. justment Act of 1938, as amended’’, approved (3) Section 1001B(a) of the Food Security SEC. 1605. ADJUSTED GROSS INCOME LIMITA- May 26, 1941 (7 U.S.C. 1330 and 1340), shall not Act of 1985 (7 U.S.C. 1308–2(a)) is amended in TION. the matter preceding paragraph (1) by strik- be applicable to the crops of wheat planted (a) IN GENERAL.—Section 1001D(b)) of the for harvest in the calendar years 2013 ing ‘‘subsections (b) and (c)’’ and inserting Food Security Act of 1985 (7 U.S.C. 1308– through 2017. ‘‘subsection (b)’’. 3a(b)) is amended by striking paragraph (1) SEC. 1603. PAYMENT LIMITATIONS. (4) Section 1001C(a) of the Food Security and inserting the following: Act of 1985 (7 U.S.C. 1308–3(a)) is amended by (a) IN GENERAL.—Section 1001 of the Food ‘‘(1) COMMODITY PROGRAMS.— inserting ‘‘title I of the Agriculture Reform, Security Act of 1985 (7 U.S.C. 1308) is amend- ‘‘(A) LIMITATION.—Notwithstanding any ed by striking subsections (b) and (c) and in- Food, and Jobs Act of 2012,’’ after ‘‘2008,’’. other provision of law, a person or legal enti- (c) APPLICATION.—The amendments made serting the following: ty shall not be eligible to receive any benefit ‘‘(b) LIMITATION ON PAYMENTS FOR PEANUTS by this section shall apply beginning with the 2013 crop year. described in subparagraph (B) during a crop, AND OTHER COVERED COMMODITIES.—The fiscal or program year, as appropriate, if the total amount of payments received, directly SEC. 1604. PAYMENTS LIMITED TO ACTIVE FARM- ERS. average adjusted gross income (or com- or indirectly, by a person or legal entity (ex- parable measure over the 3 taxable years pre- cept a joint venture or general partnership) Section 1001A of the Food Security Act of ceding the most immediately preceding com- for any crop year under title I of subtitle A 1985 (7 U.S.C. 1308–1) is amended— plete taxable year, as determined by the Sec- of the Agriculture Reform, Food, and Jobs (1) in subsection (b)(2)— retary) of the person or legal entity exceeds Act of 2012 for— (A) by striking ‘‘or active personal man- $750,000. ‘‘(1) peanuts may not exceed $50,000; and agement’’ each place it appears in subpara- ‘‘(B) COVERED BENEFITS.—Subparagraph (A) ‘‘(2) 1 or more other covered commodities graphs (A)(i)(II) and (B)(ii); and applies with respect to the following: may not exceed $50,000.’’. (B) in subparagraph (C), by striking ‘‘, as (b) CONFORMING AMENDMENTS.— applied to the legal entity, are met by the ‘‘(i) A payment under section 1105 of the (1) Section 1001 of the Food Security Act of legal entity, the partners or members mak- Agriculture Reform, Food, and Jobs Act of 1985 (7 U.S.C. 1308) is amended— ing a significant contribution of personal 2012. (A) in subsection (a)(1), by striking ‘‘sec- labor or active personal management’’ and ‘‘(ii) A marketing loan gain or loan defi- tion 1001 of the Food, Conservation, and En- inserting ‘‘are met by partners or members ciency payment under subtitle B of title I of ergy Act of 2008’’ and inserting ‘‘section 1104 making a significant contribution of per- the Agriculture Reform, Food, and Jobs Act of the Agriculture Reform, Food, and Jobs sonal labor, those partners or members’’; and of 2012. Act of 2012’’; (2) in subsection (c)— ‘‘(iii) A payment under subtitle E of the (B) in subsection (d), by inserting ‘‘or title (A) in paragraph (1)— Agriculture Reform, Food, and Jobs Act of I of the Agriculture Reform, Food, and Jobs (i) by striking subparagraph (A) and insert- 2012.’’. Act of 2012’’ before the period at the end; ing the following: ‘‘(iv) A payment under section 196 of the (C) in subsection (e)— ‘‘(A) the landowner share-rents the land at Federal Agriculture Improvement and Re- (i) in paragraph (1), by striking ‘‘sub- a rate that is usual and customary;’’; form Act of 1996 (7 U.S.C. 7333).’’. sections (b) and (c) and a program described (ii) in subparagraph (B), by striking the pe- (b) APPLICATION.—The amendments made in paragraphs (1)(C)’’ and inserting ‘‘sub- riod at the end and inserting ‘‘; and’’; and by this section shall apply beginning with section (b) and a program described in para- (iii) by adding at the end the following: the 2013 crop year. graph (1)(B)’’; and ‘‘(C) the share of the payments received by (ii) in paragraph (3)(B), by striking ‘‘sub- the landowner is commensurate with the SEC. 1606. GEOGRAPHICALLY DISADVANTAGED FARMERS AND RANCHERS. sections (b) and (c)’’ each place it appears share of the crop or income received as and inserting ‘‘subsection (b)’’; rent.’’; Section 1621(d) of the Food, Conservation, (D) in subsection (f)— (B) in paragraph (2)(A), by striking ‘‘active and Energy Act of 2008 (7 U.S.C. 8792(d)) is (i) by striking ‘‘or title XII’’ each place it personal management or’’; amended by striking ‘‘2012’’ and inserting appears in paragraphs (5)(A) and (6)(A) and (C) in paragraph (5)— ‘‘2017’’.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00084 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4015 SEC. 1607. PERSONAL LIABILITY OF PRODUCERS rector to an appellant unless, using the rules documents relied upon were determined in- FOR DEFICIENCIES. and practices that the agency applies to adequate or invalid, unless the person sign- Section 164 of the Federal Agriculture Im- itself, the agency could in fact have granted ing the program document knowingly and provement and Reform Act of 1996 (7 U.S.C. the relief because the appellant acted in willfully falsified the evidence of signature 7284) is amended by striking ‘‘and title I of good faith, but failed to fully comply with authority or a signature. the Food, Conservation, and Energy Act of the requirement of the rule or practice of the (b) AFFIRMATION.— 2008’’ each place it appears and inserting agency. (1) IN GENERAL.—Nothing in this section ‘‘title I of the Food, Conservation, and En- ‘‘(B) REMAND.—If it cannot be determined prohibits the Secretary from asking a proper ergy Act of 2008 (7 U.S.C. 8702 et seq.), and whether the agency would have granted equi- party to affirm any document that otherwise title I of the Agriculture Reform, Food, and table relief because the appellant acted in would be considered approved under sub- Jobs Act of 2012’’. good faith, but failed to comply with the rule section (a). SEC. 1608. PREVENTION OF DECEASED INDIVID- or practice of the agency, the matter shall be (2) NO RETROACTIVE EFFECT.—A denial of UALS RECEIVING PAYMENTS UNDER benefits based on a lack of affirmation under FARM COMMODITY PROGRAMS. remanded to the agency for further consider- paragraph (1) shall not be retroactive with (a) RECONCILIATION.—At least twice each ation. year, the Secretary shall reconcile social se- ‘‘(4) DETERMINATION OF APPEALABILITY.—If respect to third-party producers who were curity numbers of all individuals who receive an officer, employee, or committee of an not the subject of the erroneous representa- payments under this title, whether directly agency determines that a decision is not ap- tion of authority, if the third-party pro- or indirectly, with the Commissioner of So- pealable and a participant appeals the deci- ducers— cial Security to determine if the individuals sion to the Director, the Director shall de- (A) relied on the prior approval by the Sec- are alive. termine whether the decision is adverse to retary of the documents in good faith; and (b) PRECLUSION.—The Secretary shall pre- the individual participant and appealable or (B) substantively complied with all pro- clude the issuance of payments to, and on be- is a matter of general applicability and not gram requirements. half of, deceased individuals that were not subject to appeal. SEC. 1614. IMPLEMENTATION. eligible for payments. ‘‘(5) APPEALABILITY OF DETERMINATION.— (a) STREAMLINING.—In implementing this SEC. 1609. APPEALS. The determination of the Director as to title, the Secretary shall, to the maximum (a) DIRECTION, CONTROL, AND SUPPORT.— whether a decision is appealable is final.’’. extent practicable— Section 272 of the Department of Agriculture (c) EQUITABLE RELIEF.—Section 278 of the (1) seek to reduce administrative burdens Reorganization Act of 1994 (7 U.S.C. 6992) is Department of Agriculture Reorganization and costs to producers by streamlining and amended by striking subsection (c) and in- Act of 1994 (7 U.S.C. 6998) is amended by reducing paperwork, forms, and other admin- serting the following: striking subsection (d). istrative requirements; ‘‘(c) DIRECTION, CONTROL, AND SUPPORT.— (d) CONFORMING AMENDMENT.—Section (2) improve coordination, information ‘‘(1) DIRECTION AND CONTROL.— 296(b) of the Department of Agriculture Re- sharing, and administrative work with the ‘‘(A) IN GENERAL.—Except as provided in organization Act of 1994 (7 U.S.C. 7014(b)) is Risk Management Agency and the Natural paragraph (2), the Director shall be free from amended— Resources Conservation Service; and the direction and control of any person other (1) in paragraph (6)(C), by striking ‘‘or’’ at (3) take advantage of new technologies to than the Secretary or the Deputy Secretary the end; enhance efficiency and effectiveness of pro- of Agriculture. (2) in paragraph (7), by striking the period gram delivery to producers. ‘‘(B) ADMINISTRATIVE SUPPORT.—The Divi- at the end and inserting ‘‘; or’’; and (b) IMPLEMENTATION.—On October 1, 2013, sion shall not receive administrative support (3) by adding at the end the following: the Secretary shall make available to the (except on a reimbursable basis) from any ‘‘(8) the authority of the Secretary to Farm Service Agency to carry out this title agency other than the Office of the Sec- carry out amendments to sections 272 and 278 $100,000,000. retary. made by the Agriculture Reform, Food, and TITLE II—CONSERVATION ‘‘(C) PROHIBITION ON DELEGATION.—The Sec- Jobs Act of 2012.’’. Subtitle A—Conservation Reserve Program retary may not delegate to any other officer SEC. 1610. TECHNICAL CORRECTIONS. or employee of the Department, other than (a) Section 359f(c)(1)(B) of the Agricultural SEC. 2001. EXTENSION AND ENROLLMENT RE- the Deputy Secretary of Agriculture or the QUIREMENTS OF CONSERVATION Adjustment Act of 1938 (7 U.S.C. RESERVE PROGRAM. Director, the authority of the Secretary with 1359ff(c)(1)(B)) is amended by adding a period respect to the Division. (a) EXTENSION.—Section 1231(a) of the Food at the end. Security Act of 1985 (16 U.S.C. 3831(a)) is ‘‘(2) EXCEPTION.—The Assistant Secretary (b)(1) Section 1603(g) of the Food, Conserva- for Administration is authorized to inves- amended by striking ‘‘2012’’ and inserting tion, and Energy Act of 2008 (Public Law 110– ‘‘2017’’. tigate, enforce, and implement the provi- 246; 122 Stat. 1739) is amended in paragraphs sions in law, Executive order, or regulations (b) ELIGIBLE LAND.—Section 1231(b) of the (2) through (6) and the amendments made by Food Security Act of 1985 (16 U.S.C. 3831(b)) that relate in general to competitive and ex- those paragraphs by striking ‘‘1703(a)’’ each cepted service positions and employment is amended— place it appears and inserting ‘‘1603(a)’’. (1) in paragraph (1)(B), by striking ‘‘the within the Division, including the position of (2) This subsection and the amendments Director, and such authority may be further date of enactment of the Food, Conservation, made by this subsection take effect as if in- and Energy Act of 2008’’ and inserting ‘‘the delegated to subordinate officials.’’. cluded in the Food, Conservation, and En- (b) DETERMINATION OF APPEALABILITY OF date of enactment of the Agriculture Re- ergy Act of 2008 (Public Law 110–246; 122 Stat. form, Food, and Jobs Act of 2012’’; AGENCY DECISIONS.—Section 272 of the De- 1651). partment of Agriculture Reorganization Act (2) by striking paragraph (2) and redesig- of 1994 (7 U.S.C. 6992) is amended by striking SEC. 1611. ASSIGNMENT OF PAYMENTS. nating paragraph (3) as paragraph (2); subsection (d) and inserting the following: (a) IN GENERAL.—The provisions of section (3) by inserting before paragraph (4) the ‘‘(d) DETERMINATION OF APPEALABILITY OF 8(g) of the Soil Conservation and Domestic following: AGENCY DECISIONS.— Allotment Act (16 U.S.C. 590h(g)), relating to ‘‘(3) grassland that— ‘‘(1) DEFINITION OF A MATTER OF GENERAL assignment of payments, shall apply to pay- ‘‘(A) contains forbs or shrubland (including APPLICABILITY.—In this subsection, the term ments made under this title. improved rangeland and pastureland) for ‘a matter of general applicability’ means a (b) NOTICE.—The producer making the as- which grazing is the predominant use; matter that challenges the merits or author- signment, or the assignee, shall provide the ‘‘(B) is located in an area historically ity of a rule, procedure, local or national Secretary with notice, in such manner as the dominated by grassland; and program practice, or determination of an Secretary may require, of any assignment ‘‘(C) could provide habitat for animal and agency that applies, or can apply, to more made under this section. plant populations of significant ecological than 1 interested party as opposed to the SEC. 1612. TRACKING OF BENEFITS. value if the land is retained in its current particular application of the rule, procedure, As soon as practicable after the date of en- use or restored to a natural condition;’’; or practice to a specific set of facts or the actment of this Act, the Secretary may (4) in paragraph (4)(C), by striking facts themselves as the facts apply to 1 par- track the benefits provided, directly or indi- ‘‘filterstrips devoted to trees or shrubs’’ and ticular interested party. rectly, to individuals and entities under ti- inserting ‘‘filterstrips and riparian buffers ‘‘(2) MATTERS NOT SUBJECT TO APPEAL.—The tles I and II and the amendments made by devoted to trees, shrubs, or grasses’’; and Division may not hear appeals— those titles. (5) by striking paragraph (5) and inserting ‘‘(A) unless the determination of the agen- SEC. 1613. SIGNATURE AUTHORITY. the following: cy is adverse to the appellant; (a) IN GENERAL.—In carrying out this title ‘‘(5) the portion of land in a field not en- ‘‘(B) that involve matters of general appli- and title II and amendments made by those rolled in the conservation reserve in a case cability; and titles, if the Secretary approves a document, in which— ‘‘(C) that involve requests for equitable re- the Secretary shall not subsequently deter- ‘‘(A) more than 50 percent of the land in lief unless the equitable relief has been de- mine the document is inadequate or invalid the field is enrolled as a buffer or filterstrip nied by the agency. because of the lack of authority of any per- or more than 75 percent of the land in the ‘‘(3) EQUITABLE RELIEF.— son signing the document on behalf of the field is enrolled in a practice other than as a ‘‘(A) IN GENERAL.—An appeal requesting eq- applicant or any other individual, entity, buffer or filterstrip; and uitable relief may not be granted by the Di- general partnership, or joint venture, or the ‘‘(B) the remainder of the field is—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00085 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4016 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(i) infeasible to farm; and drainage system’’ and inserting ‘‘surface and cluding habitat during the primary nesting ‘‘(ii) enrolled at regular rental rates.’’. subsurface flow from row crop agricultural season for critical birds in the area) and in (c) PLANTING STATUS OF CERTAIN LAND.— production’’. exchange for a reduction of not less than 25 Section 1231(c) of the Food Security Act of (c) CLERICAL AMENDMENTS.—Section 1231B percent in the annual rental rate for the 1985 (16 U.S.C. 3831(c)) is amended by striking of the Food Security Act of 1985 (16 U.S.C. acres covered by the authorized activity— ‘‘if’’ and all that follows through the period 3831b) is amended— ‘‘(A) managed harvesting and other com- at the end and inserting ‘‘if, during the crop (1) by striking the heading and inserting mercial use (including the managed har- year, the land was devoted to a conserving the following: vesting of biomass), except that in permit- use.’’. ‘‘SEC. 1231B. FARMABLE WETLAND PROGRAM.’’; ting those activities the Secretary, in co- (d) ENROLLMENT.—Section 1231 of the Food and ordination with the State technical com- Security Act of 1985 (16 U.S.C. 3831) is amend- (2) in subsection (f)(2), by striking ‘‘section mittee— ed by striking subsection (d) and inserting 1234(c)(2)(B)’’ and inserting ‘‘section ‘‘(i) shall develop appropriate vegetation the following: 1234(c)(2)(A)(ii)’’. management requirements; and ‘‘(d) ENROLLMENT.— SEC. 2003. DUTIES OF OWNERS AND OPERATORS. ‘‘(ii) shall identify periods during which ‘‘(1) MAXIMUM ACREAGE ENROLLED.—The (a) LIMITATION ON HARVESTING, GRAZING OR the activities may be conducted, such that Secretary may maintain in the conservation COMMERCIAL USE OF FORAGE.—Section the frequency is at least once every 5 years reserve at any 1 time during— 1232(a)(8) of the Food Security Act of 1985 (16 but not more than once every 3 years; ‘‘(A) fiscal year 2012, no more than U.S.C. 3832(a)(8)) is amended by striking ‘‘ex- ‘‘(B) prescribed grazing for the control of 32,000,000 acres; cept that’’ and all that follows through the invasive species, which may be conducted ‘‘(B) fiscal year 2013, no more than semicolon at the end of the paragraph and annually; 30,000,000 acres; inserting ‘‘except as provided in section ‘‘(C) routine grazing, except that in per- ‘‘(C) fiscal year 2014, no more than 1233(b);’’. mitting routine grazing, the Secretary, in 27,500,000 acres; (b) CONSERVATION PLAN REQUIREMENTS.— coordination with the State technical com- ‘‘(D) fiscal year 2015, no more than Section 1232 of the Food Security Act of 1985 mittee— 26,500,000 acres; (16 U.S.C. 3832) is amended by striking sub- ‘‘(i) shall develop appropriate vegetation ‘‘(E) fiscal year 2016, no more than section (b) and inserting the following: management requirements and stocking 25,500,000 acres; and ‘‘(b) CONSERVATION PLANS.—The plan re- rates for the land that are suitable for con- ‘‘(F) fiscal year 2017, no more than ferred to in subsection (a)(1) shall set forth— tinued routine grazing; and 25,000,000 acres. ‘‘(1) the conservation measures and prac- ‘‘(ii) shall identify the periods during ‘‘(2) GRASSLAND.— tices to be carried out by the owner or oper- which routine grazing may be conducted, ‘‘(A) LIMITATION.—For purposes of applying ator during the term of the contract; and such that the frequency is not more than the limitations in paragraph (1), no more ‘‘(2) the commercial use, if any, to be per- once every 2 years, taking into consideration than 1,500,000 acres of the land described in mitted on the land during the term.’’. regional differences such as— subsection (b)(3) may be enrolled in the pro- (c) RENTAL PAYMENT REDUCTION.—Section ‘‘(I) climate, soil type, and natural re- gram at any 1 time during the 2013 through 1232 of the Food Security Act of 1985 (16 sources; 2017 fiscal years. U.S.C. 3832) is amended by striking sub- ‘‘(II) the number of years that should be re- ‘‘(B) PRIORITY.—In enrolling acres under section (d). quired between routine grazing activities; subparagraph (A), the Secretary may give SEC. 2004. DUTIES OF THE SECRETARY. and priority to land with expiring conservation Section 1233 of the Food Security Act of ‘‘(III) how often during a year in which reserve program contracts. 1985 (16 U.S.C. 3833) is amended to read as fol- routine grazing is permitted that routine ‘‘(C) METHOD OF ENROLLMENT.—In enrolling lows: grazing should be allowed to occur; and acres under subparagraph (A), the Secretary ‘‘SEC. 1233. DUTIES OF THE SECRETARY. ‘‘(D) the installation of wind turbines and shall make the program available to owners ‘‘(a) COST-SHARE AND RENTAL PAYMENTS.— associated access, except that in permitting or operators of eligible land at least once In return for a contract entered into by an the installation of wind turbines, the Sec- during each fiscal year.’’. owner or operator, the Secretary shall— retary shall determine the number and loca- (e) DURATION OF CONTRACT.—Section 1231(e) ‘‘(1) share the cost of carrying out the con- tion of wind turbines that may be installed, of the Food Security Act of 1985 (16 U.S.C. servation measures and practices set forth in taking into account— 3831(e)) is amended by striking paragraphs (2) the contract for which the Secretary deter- ‘‘(i) the location, size, and other physical and (3) and inserting the following: mines that cost sharing is appropriate and in characteristics of the land; ‘‘(2) SPECIAL RULE FOR CERTAIN LAND.—In the public interest; and ‘‘(ii) the extent to which the land contains the case of land devoted to hardwood trees, ‘‘(2) for a period of years not in excess of threatened or endangered wildlife and wild- shelterbelts, windbreaks, or wildlife cor- the term of the contract, pay an annual rent- life habitat; and ridors under a contract entered into under al payment in an amount necessary to com- ‘‘(iii) the purposes of the conservation re- this subchapter, the owner or operator of the pensate for— serve program under this subchapter; and land may, within the limitations prescribed ‘‘(A) the conversion of highly erodible ‘‘(4) the intermittent and seasonal use of under this section, specify the duration of cropland or other eligible land normally de- vegetative buffer practices incidental to ag- the contract.’’. voted to the production of an agricultural ricultural production on land adjacent to the (f) CONSERVATION PRIORITY AREAS.—Sec- commodity on a farm or ranch to a less in- buffer such that the permitted use does not tion 1231(f) of the Food Security Act of 1985 tensive use; destroy the permanent vegetative cover. (16 U.S.C. 3831(f)) is amended— ‘‘(B) the retirement of any cropland base ‘‘(c) AUTHORIZED ACTIVITIES ON GRASS- (1) in paragraph (1), by striking ‘‘watershed and allotment history that the owner or op- LAND.—Notwithstanding section 1232(a)(8), areas of the Chesapeake Bay Region, the erator agrees to retire permanently; and for eligible land described in section Great Lakes Region, the Long Island Sound ‘‘(C) the development and management of 1231(b)(3), the Secretary shall permit the fol- Region, and other’’; grassland for multiple natural resource con- lowing activities: (2) in paragraph (2), by striking ‘‘WATER- servation benefits, including soil, water, air, ‘‘(1) Common grazing practices, including SHEDS.—Watersheds’’ and inserting and wildlife. maintenance and necessary cultural prac- ‘‘AREAS.—Areas’’; and ‘‘(b) SPECIFIED ACTIVITIES PERMITTED.—The tices, on the land in a manner that is con- (3) in paragraph (3), by striking ‘‘a water- Secretary shall permit certain activities or sistent with maintaining the viability of shed’s designation—’’ and all that follows commercial uses of land that is subject to grassland, forb, and shrub species appro- through the period at the end and inserting the contract if those activities or uses are priate to that locality. ‘‘an area’s designation if the Secretary finds consistent with a plan approved by the Sec- ‘‘(2) Haying, mowing, or harvesting for that the area no longer contains actual and retary and include— seed production, subject to appropriate re- significant adverse water quality or habitat ‘‘(1) harvesting, grazing, or other commer- strictions during the primary nesting season impacts related to agricultural production cial use of the forage in response to drought, for critical birds in the area. activities.’’. flooding, or other emergency without any re- ‘‘(3) Fire presuppression, rehabilitation, SEC. 2002. FARMABLE WETLAND PROGRAM. duction in the rental rate; and construction of fire breaks. (a) EXTENSION.—Section 1231B(a)(1) of the ‘‘(2) grazing by livestock of a beginning ‘‘(4) Grazing-related activities, such as Food Security Act of 1985 (16 U.S.C. farmer or rancher without any reduction in fencing and livestock watering. 3831b(a)(1)) is amended— the rental rate, if the grazing is— ‘‘(d) RESOURCE CONSERVING USE.— (1) by striking ‘‘2012’’ and inserting ‘‘2017’’; ‘‘(A) consistent with the conservation of ‘‘(1) IN GENERAL.—Beginning on the date and soil, water quality, and wildlife habitat (in- that is 1 year before the date of termination (2) by striking ‘‘a program’’ and inserting cluding habitat during the primary nesting of a contract under the program, the Sec- ‘‘a farmable wetland program’’. season for critical birds in the area); and retary shall allow an owner or operator to (b) ELIGIBLE ACREAGE.—Section ‘‘(B) described in subparagraph (B) or (C) of make conservation and land improvements 1231B(b)(1)(B) of the Food Security Act of paragraph (3); that facilitate maintaining protection of 1985 (16 U.S.C. 3831b(b)(1)(B)) is amended by ‘‘(3) consistent with the conservation of highly erodible land after expiration of the striking ‘‘flow from a row crop agriculture soil, water quality, and wildlife habitat (in- contract.

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‘‘(2) CONSERVATION PLAN.—The Secretary ‘‘(3) ADVANCE PAYMENT.—Payments under ‘‘(B) operated with equipment, labor, man- shall require an owner or operator carrying this subchapter may be made in advance of agement, and production or cultivation prac- out the activities described in paragraph (1) determination of performance.’’. tices that are substantially separate from to develop and implement a conservation (e) PAYMENT LIMITATION.—Section 1234(f) of other agricultural operations, as determined plan. the Food Security Act of 1985 (16 U.S.C. by the Secretary. ‘‘(3) REENROLLMENT PROHIBITED.—Land al- 3834(f)) is amended— ‘‘(2) CONSERVATION ACTIVITIES.— tered under paragraph (1) may not be re- (1) in paragraph (1), by striking ‘‘, includ- ‘‘(A) IN GENERAL.—The term ‘conservation enrolled in the conservation reserve program ing rental payments made in the form of in- activities’ means conservation systems, for 5 years. kind commodities,’’; practices, or management measures. ‘‘(4) PAYMENT.—The Secretary shall pro- (2) by striking paragraph (3); and ‘‘(B) INCLUSIONS.—The term ‘conservation vide an annual payment that is reduced in an (3) by redesignating paragraph (4) as para- activities’ includes— amount commensurate with any income or graph (2). ‘‘(i) structural measures, vegetative meas- other compensation received as a result of SEC. 2006. CONTRACT REQUIREMENTS. ures, and land management measures, in- the activities carried out under paragraph Section 1235(f) of the Food Security Act of cluding agriculture drainage management (1).’’. 1985 (16 U.S.C. 3835(f)) is amended— systems, as determined by the Secretary; SEC. 2005. PAYMENTS. (1) in paragraph (1)— and (a) TREES, WINDBREAKS, SHELTERBELTS, (A) in the matter preceding subparagraph ‘‘(ii) planning needed to address a priority AND WILDLIFE CORRIDORS.—Section (A), by striking ‘‘DUTIES’’ and all that fol- resource concern. 1234(b)(3)(A) of the Food Security Act of 1985 lows through ‘‘a beginning farmer’’ and in- ‘‘(3) CONSERVATION STEWARDSHIP PLAN.— (16 U.S.C. 3834(b)(3)(A)) is amended— serting ‘‘TRANSITION TO COVERED FARMER OR The term ‘conservation stewardship plan’ (1) in clause (i), by inserting ‘‘and’’ after RANCHER.—In the case of a contract modi- means a plan that— the semicolon; fication approved in order to facilitate the ‘‘(A) identifies and inventories priority re- (2) by striking clause (ii); and transfer of land subject to a contract from a source concerns; (3) by redesignating clause (iii) as clause retired farmer or rancher to a beginning ‘‘(B) establishes benchmark data and con- (ii). farmer’’; servation objectives; (b) INCENTIVES.—Section 1234(b)(3)(B) of the (B) in subparagraph (D), by striking ‘‘the ‘‘(C) describes conservation activities to be Food Security Act of 1985 (16 U.S.C. farmer or rancher’’ and inserting ‘‘the cov- implemented, managed, or improved; and 3834(b)(3)(B)) is amended— ered farmer or rancher’’; and ‘‘(D) includes a schedule and evaluation (1) in clause (i), by inserting ‘‘, practices to (C) in subparagraph (E), by striking ‘‘sec- plan for the planning, installation, and man- improve the condition of resources on the tion 1001A(b)(3)(B)’’ and inserting ‘‘section agement of the new and existing conserva- land,’’ after ‘‘operator)’’; and 1001’’; and tion activities. (2) by adding at the end the following: (2) in paragraph (2), by striking ‘‘require- ‘‘(4) ELIGIBLE LAND.— ‘‘(iii) INCENTIVES.—In making rental pay- ment of section 1231(h)(4)(B)’’ and inserting ‘‘(A) IN GENERAL.—The term ‘eligible land’ ments to an owner or operator of land de- ‘‘option provided under section means— scribed in subparagraph (A), the Secretary 1234(c)(2)(A)(ii)’’. ‘‘(i) private and tribal land on which agri- may provide incentive payments sufficient SEC. 2007. CONVERSION OF LAND SUBJECT TO cultural commodities, livestock, or forest-re- to encourage proper thinning and practices CONTRACT TO OTHER CONSERVING lated products are produced; and to improve the condition of resources on the USES. ‘‘(ii) land associated with the land de- land.’’. Section 1235A of the Food Security Act of scribed in clause (i) on which priority re- (c) ANNUAL RENTAL PAYMENTS.—Section 1985 (16 U.S.C. 3835a) is repealed. source concerns could be addressed through a 1234(c) of the Food Security Act of 1985 (16 SEC. 2008. EFFECTIVE DATE. contract under the program. U.S.C. 3834(c)) is amended— (a) IN GENERAL.—The amendments made by ‘‘(B) INCLUSIONS.—The term ‘eligible land’ (1) in paragraph (1), by inserting ‘‘and this title shall take effect on October 1, 2012, includes— other eligible land’’ after ‘‘highly erodible except, the amendment made by section ‘‘(i) cropland; cropland’’ both places it appears; 2001(d), which shall take effect on the date of ‘‘(ii) grassland; (2) by striking paragraph (2) and inserting enactment of this Act. ‘‘(iii) rangeland; the following: (b) EFFECT ON EXISTING CONTRACTS.— ‘‘(iv) pastureland; ‘‘(2) METHODS OF DETERMINATION.— (1) IN GENERAL.—Except as provided in ‘‘(v) nonindustrial private forest land; and ‘‘(A) IN GENERAL.—The amounts payable to paragraph (2), the amendments made by this ‘‘(vi) other agricultural land (including owners or operators in the form of rental title shall not affect the validity or terms of cropped woodland, marshes, and agricultural payments under contracts entered into under any contract entered into by the Secretary land used for the production of livestock), as this subchapter may be determined of Agriculture under subchapter B of chapter determined by the Secretary. through— 1 of subtitle D of title XII of the Food Secu- ‘‘(5) PRIORITY RESOURCE CONCERN.—The ‘‘(i) the submission of bids for such con- rity Act of 1985 (16 U.S.C. 3831 et seq.) before term ‘priority resource concern’ means a tracts by owners and operators in such man- October 1, 2012, or any payments required to natural resource concern or problem, as de- ner as the Secretary may prescribe; or be made in connection with the contract. termined by the Secretary, that— ‘‘(ii) such other means as the Secretary de- (2) UPDATING OF EXISTING CONTRACTS.—The ‘‘(A) is identified at the national, State or termines are appropriate. Secretary shall permit an owner or operator local level, as a priority for a particular area ‘‘(B) GRASSLAND.—In the case of eligible with a contract entered into under sub- of the State; land described in section 1231(b)(3), the Sec- chapter B of chapter 1 of subtitle D of title ‘‘(B) represents a significant concern in a retary shall make annual payments in an XII of the Food Security Act of 1985 (16 State or region; and amount that is not more than 75 percent of U.S.C. 3831 et seq.) before October 1, 2012, to ‘‘(C) is likely to be addressed successfully the grazing value of the land covered by the update the contract to reflect the activities through the implementation of conservation contract.’’; and and uses of land under contract permitted activities under this program. (3) in paragraph (5)(A)— under the terms and conditions of para- ‘‘(6) PROGRAM.—The term ‘program’ means (A) by striking ‘‘The Secretary’’ and in- graphs (1) and (2) of section 1233(b) of that the conservation stewardship program estab- serting the following: Act (as amended by section 2004). lished by this subchapter. ‘‘(7) STEWARDSHIP THRESHOLD.—The term ‘‘(i) SURVEY.—The Secretary’’; and Subtitle B—Conservation Stewardship ‘stewardship threshold’ means the level of (B) by adding at the end the following: Program ‘‘(ii) USE.—The Secretary may use the sur- management required, as determined by the SEC. 2101. CONSERVATION STEWARDSHIP PRO- Secretary, to conserve and improve the qual- vey of dryland cash rental rates described in GRAM. clause (i) as a factor in determining rental ity and condition of a natural resource. (a) REVISION OF CURRENT PROGRAM.—Sub- rates under this section as the Secretary de- ‘‘SEC. 1238E. CONSERVATION STEWARDSHIP PRO- chapter B of chapter 2 of subtitle D of title termines appropriate.’’. GRAM. XII of the Food Security Act of 1985 (16 (d) PAYMENT SCHEDULE.—Section 1234 of ‘‘(a) ESTABLISHMENT AND PURPOSE.—During U.S.C. 3838d et seq.) is amended to read as the Food Security Act of 1985 (16 U.S.C. 3834) each of fiscal years 2013 through 2017, the follows: is amended by striking subsection (d) and in- Secretary shall carry out a conservation serting the following: ‘‘Subchapter B—Conservation Stewardship stewardship program to encourage producers ‘‘(d) PAYMENT SCHEDULE.— Program to address priority resource concerns and im- ‘‘(1) IN GENERAL.—Except as otherwise pro- ‘‘SEC. 1238D. DEFINITIONS. prove and conserve the quality and condition vided in this section, payments under this ‘‘In this subchapter: of natural resources in a comprehensive subchapter shall be made in cash in such ‘‘(1) AGRICULTURAL OPERATION.—The term manner— amount and on such time schedule as is ‘agricultural operation’ means all eligible ‘‘(1) by undertaking additional conserva- agreed on and specified in the contract. land, whether or not contiguous, that is— tion activities; and ‘‘(2) SOURCE.—Payments under this sub- ‘‘(A) under the effective control of a pro- ‘‘(2) by improving, maintaining, and man- chapter shall be made using the funds of the ducer at the time the producer enters into a aging existing conservation activities. Commodity Credit Corporation. contract under the program; and ‘‘(b) EXCLUSIONS.—

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‘‘(1) LAND ENROLLED IN OTHER CONSERVA- ority resource concerns are effectively ad- the program, the transferee of the land pro- TION PROGRAMS.—Subject to paragraph (2), dressed. vides written notice to the Secretary that the following land (even if covered by the ‘‘(c) ENTERING INTO CONTRACTS.—After a duties and rights under the contract have definition of eligible land) is not eligible for determination that a producer is eligible for been transferred to, and assumed by, the enrollment in the program: the program under subsection (a), and a de- transferee for the portion of the land trans- ‘‘(A) Land enrolled in the conservation re- termination that the contract offer ranks ferred; serve program. sufficiently high under the evaluation cri- ‘‘(ii) the transferee meets the eligibility re- ‘‘(B) Land enrolled in the Agricultural teria under subsection (b), the Secretary quirements of the program; and Conservation Easement Program in a wet- shall enter into a conservation stewardship ‘‘(iii) the Secretary approves the transfer land easement. contract with the producer to enroll the eli- of all duties and rights under the contract. ‘‘(C) Land enrolled in the conservation se- gible land to be covered by the contract. ‘‘(4) MODIFICATION AND TERMINATION OF CON- ‘‘(d) CONTRACT PROVISIONS.— curity program. TRACTS.— ‘‘(1) TERM.—A conservation stewardship ‘‘(2) CONVERSION TO CROPLAND.—Eligible ‘‘(A) VOLUNTARY MODIFICATION OR TERMI- contract shall be for a term of 5 years. land used for crop production after October NATION.—The Secretary may modify or ter- ‘‘(2) REQUIRED PROVISIONS.—The conserva- 1, 2012, that had not been planted, considered minate a contract with a producer if— tion stewardship contract of a producer to be planted, or devoted to crop production ‘‘(i) the producer agrees to the modifica- shall— for at least 4 of the 6 years preceding that tion or termination; and ‘‘(A) state the amount of the payment the date shall not be the basis for any payment ‘‘(ii) the Secretary determines that the Secretary agrees to make to the producer for under the program, unless the land does not modification or termination is in the public each year of the conservation stewardship meet the requirement because— interest. contract under section 1238G(d); ‘‘(A) the land had previously been enrolled ‘‘(B) INVOLUNTARY TERMINATION.—The Sec- ‘‘(B) require the producer— in the conservation reserve program; retary may terminate a contract if the Sec- ‘‘(i) to implement a conservation steward- retary determines that the producer violated ‘‘(B) the land has been maintained using ship plan that describes the program pur- long-term crop rotation practices, as deter- poses to be achieved through 1 or more con- the contract. mined by the Secretary; or servation activities; ‘‘(5) REPAYMENT.—If a contract is termi- ‘‘(C) the land is incidental land needed for ‘‘(ii) to maintain and supply information nated, the Secretary may, consistent with efficient operation of the farm or ranch, as as required by the Secretary to determine the purposes of the program— determined by the Secretary. compliance with the conservation steward- ‘‘(A) allow the producer to retain payments ‘‘SEC. 1238F. STEWARDSHIP CONTRACTS. ship plan and any other requirements of the already received under the contract; or ‘‘(a) SUBMISSION OF CONTRACT OFFERS.—To program; and ‘‘(B) require repayment, in whole or in be eligible to participate in the conservation ‘‘(iii) not to conduct any activities on the part, of payments received and assess liq- stewardship program, a producer shall sub- agricultural operation that would tend to de- uidated damages. mit a contract offer for the agricultural op- feat the purposes of the program; ‘‘(e) CONTRACT RENEWAL.—At the end of the eration that— ‘‘(C) permit all economic uses of the eligi- initial 5-year contract period, the Secretary ‘‘(1) demonstrates to the satisfaction of the ble land that— may allow the producer to renew the con- Secretary that the producer, at the time of ‘‘(i) maintain the agricultural nature of tract for 1 additional 5-year period if the pro- the contract offer, is meeting the steward- the land; and ducer— ship threshold for at least 2 priority resource ‘‘(ii) are consistent with the conservation ‘‘(1) demonstrates compliance with the concerns; and purposes of the conservation stewardship terms of the existing contract; ‘‘(2) would, at a minimum, meet or exceed contract; ‘‘(2) agrees to adopt and continue to inte- the stewardship threshold for at least 1 addi- ‘‘(D) include a provision to ensure that a grate conservation activities across the en- tional priority resource concern by the end producer shall not be considered in violation tire agricultural operation as determined by of the stewardship contract by— of the contract for failure to comply with the Secretary; and ‘‘(A) installing and adopting additional the contract due to circumstances beyond ‘‘(3) agrees, at a minimum, to meet or ex- conservation activities; and the control of the producer, including a dis- ceed the stewardship threshold for at least 2 ‘‘(B) improving, maintaining, and man- aster or related condition, as determined by additional priority resource concerns on the aging existing conservation activities on the the Secretary; agricultural operation by the end of the con- agricultural operation in a manner that in- ‘‘(E) include provisions where upon the vio- tract period. creases or extends the conservation benefits lation of a term or condition of the contract ‘‘SEC. 1238G. DUTIES OF THE SECRETARY. in place at the time the contract offer is ac- at any time the producer has control of the ‘‘(a) IN GENERAL.—To achieve the conserva- cepted by the Secretary. land— tion goals of a contract under the conserva- ‘‘(b) EVALUATION OF CONTRACT OFFERS.— ‘‘(i) if the Secretary determines that the tion stewardship program, the Secretary ‘‘(1) RANKING OF APPLICATIONS.—In evalu- violation warrants termination of the con- shall— ating contract offers the Secretary shall tract— ‘‘(1) make the program available to eligible rank applications based on— ‘‘(I) to forfeit all rights to receive pay- producers on a continuous enrollment basis ‘‘(A) the level of conservation treatment ments under the contract; and with 1 or more ranking periods, 1 of which on all applicable priority resource concerns ‘‘(II) to refund all or a portion of the pay- shall occur in the first quarter of each fiscal at the time of application; ments received by the producer under the year; ‘‘(B) the degree to which the proposed con- contract, including any interest on the pay- ‘‘(2) identify not less than 5 priority re- servation activities effectively increase con- ments, as determined by the Secretary; or source concerns in a particular watershed or servation performance; ‘‘(ii) if the Secretary determines that the other appropriate region or area within a ‘‘(C) the number of applicable priority re- violation does not warrant termination of State; and source concerns proposed to be treated to the contract, to refund or accept adjust- ‘‘(3) establish a science-based stewardship meet or exceed the stewardship threshold by ments to the payments provided to the pro- threshold for each priority resource concern the end of the contract; ducer, as the Secretary determines to be ap- identified under subparagraph (2). ‘‘(D) the extent to which other priority re- propriate; ‘‘(b) ALLOCATION TO STATES.—The Sec- source concerns will be addressed to meet or ‘‘(F) include provisions in accordance with retary shall allocate acres to States for en- exceed the stewardship threshold by the end paragraphs (3) and (4) of this section; and rollment, based— of the contract period; ‘‘(G) include any additional provisions the ‘‘(1) primarily on each State’s proportion ‘‘(E) the extent to which the actual and an- Secretary determines are necessary to carry of eligible land to the total acreage of eligi- ticipated conservation benefits from the con- out the program. ble land in all States; and tract are provided at the least cost relative ‘‘(3) CHANGE OF INTEREST IN LAND SUBJECT ‘‘(2) also on consideration of— to other similarly beneficial contract offers; TO A CONTRACT.— ‘‘(A) the extent and magnitude of the con- and ‘‘(A) IN GENERAL.—At the time of applica- servation needs associated with agricultural ‘‘(F) the extent to which priority resource tion, a producer shall have control of the eli- production in each State; concerns will be addressed when gible land to be enrolled in the program. Ex- ‘‘(B) the degree to which implementation transitioning from the conservation reserve cept as provided in subparagraph (B), a of the program in the State is, or will be, ef- program to agricultural production. change in the interest of a producer in eligi- fective in helping producers address those ‘‘(2) PROHIBITION.—The Secretary may not ble land covered by a contract under the pro- needs; and assign a higher priority to any application gram shall result in the termination of the ‘‘(C) other considerations to achieve equi- because the applicant is willing to accept a contract with regard to that land. table geographic distribution of funds, as de- lower payment than the applicant would oth- ‘‘(B) TRANSFER OF DUTIES AND RIGHTS.— termined by the Secretary. erwise be eligible to receive. Subparagraph (A) shall not apply if— ‘‘(c) ACREAGE ENROLLMENT LIMITATION.— ‘‘(3) ADDITIONAL CRITERIA.—The Secretary ‘‘(i) within a reasonable period of time (as During the period beginning on October 1, may develop and use such additional criteria determined by the Secretary) after the date 2012, and ending on September 30, 2021, the that the Secretary determines are necessary of the change in the interest in all or a por- Secretary shall, to the maximum extent to ensure that national, State, and local pri- tion of the land covered by a contract under practicable—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00088 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4019 ‘‘(1) enroll in the program an additional resource-conserving crop rotations for the (1) by striking paragraph (2) and redesig- 10,348,000 acres for each fiscal year; and term of the contract. nating paragraphs (3) through (6) as para- ‘‘(2) manage the program to achieve a na- ‘‘(4) RESOURCE-CONSERVING CROP ROTA- graphs (2) through (5), respectively; and tional average rate of $18 per acre, which TION.—In this subsection, the term ‘resource- (2) in paragraph (2) (as so redesignated), by shall include the costs of all financial assist- conserving crop rotation’ means a crop rota- inserting ‘‘established under the Organic ance, technical assistance, and any other ex- tion that— Foods Production Act of 1990 (7 U.S.C. 6501 et penses associated with enrollment or partici- ‘‘(A) includes at least 1 resource conserving seq.)’’ after ‘‘national organic program’’. pation in the program. crop (as defined by the Secretary); SEC. 2203. ESTABLISHMENT AND ADMINISTRA- ‘‘(d) CONSERVATION STEWARDSHIP PAY- ‘‘(B) reduces erosion; TION. MENTS.— ‘‘(C) improves soil fertility and tilth; Section 1240B of the Food Security Act of ‘‘(1) AVAILABILITY OF PAYMENTS.—The Sec- ‘‘(D) interrupts pest cycles; and 1985 (16 U.S.C. 3839aa–2) is amended— retary shall provide annual payments under ‘‘(E) in applicable areas, reduces depletion (1) in subsection (a), by striking ‘‘2014’’ and the program to compensate the producer of soil moisture or otherwise reduces the inserting ‘‘2017’’; for— need for irrigation. (2) in subsection (b), by striking paragraph ‘‘(A) installing and adopting additional ‘‘(f) PAYMENT LIMITATIONS.—A person or (2) and inserting the following: conservation activities; and legal entity may not receive, directly or in- ‘‘(2) TERM.—A contract under the program ‘‘(B) improving, maintaining, and man- directly, payments under the program that, shall have a term that does not exceed 10 aging conservation activities in place at the in the aggregate, exceed $200,000 under all years.’’; operation of the producer at the time the contracts entered into during fiscal years (3) in subsection (d)— contract offer is accepted by the Secretary. 2013 through 2017, excluding funding arrange- (A) in paragraph (3), by striking subpara- ‘‘(2) PAYMENT AMOUNT.—The amount of the ments with Indian tribes, regardless of the conservation stewardship annual payment graphs (A) through (G) and inserting the fol- number of contracts entered into under the lowing: shall be determined by the Secretary and program by the person or legal entity. based, to the maximum extent practicable, ‘‘(A) soil health; ‘‘(g) SPECIALTY CROP AND ORGANIC PRO- on the following factors: ‘‘(B) water quality and quantity improve- DUCERS.—The Secretary shall ensure that ‘‘(A) Costs incurred by the producer associ- ment; outreach and technical assistance are avail- ated with planning, design, materials, instal- ‘‘(C) nutrient management; able, and program specifications are appro- lation, labor, management, maintenance, or ‘‘(D) pest management; priate to enable specialty crop and organic training. ‘‘(E) air quality improvement; producers to participate in the program. ‘‘(B) Income forgone by the producer. ‘‘(F) wildlife habitat development, includ- ‘‘(C) Expected conservation benefits. ‘‘(h) COORDINATION WITH ORGANIC CERTIFI- ing pollinator habitat; ‘‘(D) The extent to which priority resource CATION.—The Secretary shall establish a ‘‘(G) invasive species management; or concerns will be addressed through the in- transparent means by which producers may ‘‘(H) other resource issues of regional or stallation and adoption of conservation ac- initiate organic certification under the Or- national significance, as determined by the tivities on the agricultural operation. ganic Foods Production Act of 1990 (7 U.S.C. Secretary.’’; and ‘‘(E) The level of stewardship in place at 6501 et seq.) while participating in a contract (B) in paragraph (4)— the time of application and maintained over under the program. (i) in subparagraph (A) in the matter pre- the term of the contract. ‘‘(i) REGULATIONS.—The Secretary shall ceding clause (i), by inserting ‘‘, veteran ‘‘(F) The degree to which the conservation promulgate regulations that— farmer or rancher (as defined in section activities will be integrated across the entire ‘‘(1) prescribe such other rules as the Sec- 2501(e) of the Food, Agriculture, Conserva- agricultural operation for all applicable pri- retary determines to be necessary to ensure tion, and Trade Act of 1990 (7 U.S.C. ority resource concerns over the term of the a fair and reasonable application of the limi- 2279(e))),’’ before ‘‘or a beginning farmer or contract. tations established under subsection (f); and rancher’’; and ‘‘(G) Such other factors as determined by ‘‘(2) otherwise enable the Secretary to (ii) by striking subparagraph (B) and in- the Secretary. carry out the program.’’. serting the following: ‘‘(3) EXCLUSIONS.—A payment to a producer (b) EFFECTIVE DATE.—The amendment ‘‘(B) ADVANCE PAYMENTS.— under this subsection shall not be provided made by this section shall take effect on Oc- ‘‘(i) IN GENERAL.—Not more than 30 percent for— tober 1, 2012. of the amount determined under subpara- ‘‘(A) the design, construction, or mainte- (c) EFFECT ON EXISTING CONTRACTS.— graph (A) may be provided in advance for the nance of animal waste storage or treatment (1) IN GENERAL.—The amendment made by purpose of purchasing materials or con- facilities or associated waste transport or this section shall not affect the validity or tracting. transfer devices for animal feeding oper- terms of any contract entered into by the ‘‘(ii) RETURN OF FUNDS.—If funds provided ations; or Secretary of Agriculture under subchapter B in advance are not expended during the 90- ‘‘(B) conservation activities for which of chapter 2 of subtitle D of title XII of the day period beginning on the date of receipt there is no cost incurred or income forgone Food Security Act of 1985 (16 U.S.C. 3838d et of the funds, the funds shall be returned to the producer. seq.) before October 1, 2012, or any payments within a reasonable time frame, as deter- ‘‘(4) DELIVERY OF PAYMENTS.—In making required to be made in connection with the mined by the Secretary.’’; stewardship payments, the Secretary shall, contract. (4) by striking subsection (f) and inserting to the extent practicable— (2) CONSERVATION STEWARDSHIP PROGRAM.— the following: ‘‘(A) prorate conservation performance Funds made available under section ‘‘(f) ALLOCATION OF FUNDING.— over the term of the contract so as to accom- 1241(a)(4) of the Food Security Act of 1985 (16 ‘‘(1) LIVESTOCK.—For each of fiscal years modate, to the extent practicable, producers U.S.C. 3841(a)(4)) (as amended by section 2013 through 2017, at least 60 percent of the earning equal annual stewardship payments 2601(a)) may be used to administer and make funds made available for payments under the in each fiscal year; and payments to program participants enrolled program shall be targeted at practices relat- ‘‘(B) make stewardship payments as soon into contracts during any of fiscal years 2009 ing to livestock production. as practicable after October 1 of each fiscal through 2012. ‘‘(2) WILDLIFE HABITAT.—For each of fiscal year for activities carried out in the previous Subtitle C—Environmental Quality years 2013 through 2017, at least 5 percent of fiscal year. Incentives Program the funds made available for payments under ‘‘(e) SUPPLEMENTAL PAYMENTS FOR RE- the program shall be targeted at practices SEC. 2201. PURPOSES. SOURCE-CONSERVING CROP ROTATIONS.— benefitting wildlife habitat under subsection ‘‘(1) AVAILABILITY OF PAYMENTS.—The Sec- Section 1240 of the Food Security Act of (g).’’; and retary shall provide additional payments to 1985 (16 U.S.C. 3839aa) is amended— (5) by striking subsection (g) and inserting producers that, in participating in the pro- (1) in paragraph (3)— the following: gram, agree to adopt resource-conserving (A) in subparagraph (A), by striking ‘‘and’’ ‘‘(g) WILDLIFE HABITAT INCENTIVE PRAC- crop rotations to achieve beneficial crop ro- at the end; TICE.—The Secretary shall provide payments tations as appropriate for the eligible land of (B) by redesignating subparagraph (B) as under the program for conservation practices the producers. subparagraph (C) and, in such subparagraph, that support the restoration, development, ‘‘(2) BENEFICIAL CROP ROTATIONS.—The Sec- by inserting ‘‘and’’ after the semicolon; and and improvement of wildlife habitat on eligi- retary shall determine whether a resource- (C) by inserting after subparagraph (A) the ble land, including— conserving crop rotation is a beneficial crop following: ‘‘(1) upland wildlife habitat; rotation eligible for additional payments ‘‘(B) develop and improve wildlife habitat; ‘‘(2) wetland wildlife habitat; under paragraph (1), based on whether the re- and’’; ‘‘(3) habitat for threatened and endangered source-conserving crop rotation is designed (2) in paragraph (4), by striking ‘‘; and’’ and species; to provide natural resource conservation and inserting a period; and ‘‘(4) fish habitat; production benefits. (3) by striking paragraph (5). ‘‘(5) habitat on pivot corners and other ir- ‘‘(3) ELIGIBILITY.—To be eligible to receive SEC. 2202. DEFINITIONS. regular areas of a field; and a payment described in paragraph (1), a pro- Section 1240A of the Food Security Act of ‘‘(6) other types of wildlife habitat, as de- ducer shall agree to adopt and maintain the 1985 (16 U.S.C. 3839aa–1) is amended— termined by the Secretary.’’.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00089 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4020 CONGRESSIONAL RECORD — SENATE June 12, 2012 SEC. 2204. EVALUATION OF APPLICATIONS. land by limiting nonagricultural uses of that ‘‘(iii) farmed wetland and adjoining land Section 1240C(b) of the Food Security Act land; and that— of 1985 (16 U.S.C. 3839aa–3(b)) is amended— ‘‘(4) protect grazing uses and related con- ‘‘(I) is enrolled in the conservation reserve (1) in paragraph (1), by striking ‘‘environ- servation values by restoring and conserving program; mental’’ and inserting ‘‘conservation’’; and eligible land. ‘‘(II) has the highest wetland functions and (2) in paragraph (3), by striking ‘‘purpose of ‘‘SEC. 1265A. DEFINITIONS. values; and the environmental quality incentives pro- ‘‘In this subtitle: ‘‘(III) is likely to return to production gram specified in section 1240(1)’’ and insert- ‘‘(1) AGRICULTURAL LAND EASEMENT.—The after the land leaves the conservation re- ing ‘‘purposes of the program’’. term ‘agricultural land easement’ means an serve program; SEC. 2205. DUTIES OF PRODUCERS. easement or other interest in eligible land ‘‘(iv) riparian areas that link wetland that Section 1240D(2) of the Food Security Act that— is protected by easements or some other de- of 1985 (16 U.S.C. 3839aa–4(2)) is amended by ‘‘(A) is conveyed for the purposes of pro- vice that achieves the same purpose as an striking ‘‘farm, ranch, or forest’’ and insert- tecting natural resources and the agricul- easement; or ing ‘‘enrolled’’. tural nature of the land, and of promoting ‘‘(v) other wetland of an owner that would SEC. 2206. LIMITATION ON PAYMENTS. agricultural viability for future generations; not otherwise be eligible if the Secretary de- Section 1240G of the Food Security Act of and termines that the inclusion of such wetland 1985 (16 U.S.C. 3839aa–7) is amended— ‘‘(B) permits the landowner the right to in such easement would significantly add to (1) in subsection (a)— continue agricultural production and related the functional value of the easement; and (A) by striking ‘‘by the person or entity uses subject to an agricultural land ease- ‘‘(C) in the case of both an agricultural during any six-year period,’’ and inserting ment plan. land easement or wetland easement, other ‘‘during fiscal years 2013 through 2017’’; and ‘‘(2) ELIGIBLE ENTITY.—The term ‘eligible land that is incidental to eligible land if the (B) by striking ‘‘federally recognized’’ and entity’ means— Secretary determines that it is necessary for all that follows through the period and in- ‘‘(A) an agency of State or local govern- the efficient administration of the ease- serting ‘‘Indian tribes under section 1244(l).’’; ment or an Indian tribe (including farmland ments under this program. and protection board or land resource council es- ‘‘(4) PROGRAM.—The term ‘program’ means (2) in subsection (b)(2), by striking ‘‘any tablished under State law); or the Agricultural Conservation Easement six-year period’’ and inserting ‘‘fiscal years ‘‘(B) an organization that is— Program established by this subtitle. 2013 through 2017’’. ‘‘(i) organized for, and at all times since ‘‘(5) WETLAND EASEMENT.—The term ‘wet- land easement’ means a reserved interest in SEC. 2207. CONSERVATION INNOVATION GRANTS the formation of the organization has been AND PAYMENTS. operated principally for, 1 or more of the eligible land that— Section 1240H of the Food Security Act of conservation purposes specified in clause (i), ‘‘(A) is defined and delineated in a deed; 1985 (16 U.S.C. 3839aa–8) is amended by strik- (ii), (iii), or (iv) of section 170(h)(4)(A) of the and ing subsection (b) and inserting the fol- Internal Revenue Code of 1986; ‘‘(B) stipulates— lowing: ‘‘(ii) an organization described in section ‘‘(i) the rights, title, and interests in land ‘‘(b) REPORTING.—Not later than December 501(c)(3) of that Code that is exempt from conveyed to the Secretary; and 31, 2013, and every 2 years thereafter, the taxation under section 501(a) of that Code; or ‘‘(ii) the rights, title, and interests in land Secretary shall submit to the Committee on ‘‘(iii) described in— that are reserved to the landowner. Agriculture, Nutrition, and Forestry of the ‘‘(I) paragraph (1) or (2) of section 509(a) of ‘‘SEC. 1265B. AGRICULTURAL LAND EASEMENTS. Senate and the Committee on Agriculture of that Code; or ‘‘(a) AVAILABILITY OF ASSISTANCE.—The the House of Representatives a report on the ‘‘(II) section 509(a)(3) of that Code and is Secretary shall facilitate and provide fund- status of projects funded under this section, controlled by an organization described in ing for— including— section 509(a)(2) of that Code. ‘‘(1) the purchase of agricultural land ease- ‘‘(1) funding awarded; ‘‘(3) ELIGIBLE LAND.—The term ‘eligible ments and other interests in eligible land; ‘‘(2) project results; and land’ means private or tribal land that is— and ‘‘(3) incorporation of project findings, such ‘‘(A) in the case of an agricultural land ‘‘(2) technical assistance to provide for the as new technology and innovative ap- easement, agricultural land, including land conservation of natural resources pursuant proaches, into the conservation efforts im- on a farm or ranch— to an agricultural land easement plan. ‘‘(b) COST-SHARE ASSISTANCE.— plemented by the Secretary.’’. ‘‘(i) that is subject to a pending offer for purchase from an eligible entity; ‘‘(1) IN GENERAL.—The Secretary shall pro- SEC. 2208. EFFECTIVE DATE. ‘‘(ii) that— vide cost-share assistance to eligible entities (a) IN GENERAL.—The amendments made by for purchasing agricultural land easements this title shall take effect on October 1, 2012. ‘‘(I) has prime, unique, or other productive to protect the agricultural use, including (b) EFFECT ON EXISTING CONTRACTS.—The soil; grazing, and related conservation values of amendments made by this title shall not af- ‘‘(II) contains historical or archaeological eligible land. fect the validity or terms of any contract en- resources; or ‘‘(2) SCOPE OF ASSISTANCE AVAILABLE.— tered into by the Secretary of Agriculture ‘‘(III) the protection of which will further a ‘‘(A) FEDERAL SHARE.—Subject to subpara- under chapter 4 of subtitle D of title XII of State or local policy consistent with the pur- graph (C), an agreement described in para- the Food Security Act of 1985 (16 U.S.C. poses of the program; and graph (4) shall provide for a Federal share de- 3839aa et seq.) before October 1, 2012, or any ‘‘(iii) that is— termined by the Secretary of an amount not payments required to be made in connection ‘‘(I) cropland; to exceed 50 percent of the fair market value with the contract. ‘‘(II) rangeland; ‘‘(III) grassland or land that contains forbs, of the agricultural land easement or other Subtitle D—Agricultural Conservation or shrubland for which grazing is the pre- interest in land, as determined by the Sec- Easement Program dominant use; retary using— SEC. 2301. AGRICULTURAL CONSERVATION EASE- ‘‘(IV) pastureland; or ‘‘(i) the Uniform Standards of Professional MENT PROGRAM. ‘‘(V) nonindustrial private forest land that Appraisal Practices; (a) ESTABLISHMENT.—Title XII of the Food contributes to the economic viability of an ‘‘(ii) an area-wide market analysis or sur- Security Act of 1985 is amended by adding at offered parcel or serves as a buffer to protect vey; or the end the following: such land from development; ‘‘(iii) another industry approved method. ‘‘Subtitle H—Agricultural Conservation ‘‘(B) in the case of a wetland easement, a ‘‘(B) NON-FEDERAL SHARE.— Easement Program wetland or related area, including— ‘‘(i) IN GENERAL.—Subject to subparagraph ‘‘SEC. 1265. ESTABLISHMENT AND PURPOSES. ‘‘(i) farmed or converted wetland, together (C), under the agreement, the eligible entity ‘‘(a) ESTABLISHMENT.—The Secretary shall with the adjacent land that is functionally shall provide a share that is at least equiva- establish an Agricultural Conservation Ease- dependent on that land if the Secretary de- lent to that provided by the Secretary. ment Program for the conservation of eligi- termines it— ‘‘(ii) SOURCE OF CONTRIBUTION.—An eligible ble land and natural resources through ease- ‘‘(I) is likely to be successfully restored in entity may include as part of its share a ments or other interests in land. a cost effective manner; and charitable donation or qualified conserva- ‘‘(b) PURPOSES.—The purposes of the pro- ‘‘(II) will maximize the wildlife benefits tion contribution (as defined by section gram are to— and wetland functions and values as deter- 170(h) of the Internal Revenue Code of 1986) ‘‘(1) combine the purposes and coordinate mined by the Secretary in consultation with from the private landowner if the eligible en- the functions of the wetlands reserve pro- the Secretary of the Interior at the local tity contributes its own cash resources in an gram established under section 1237, the level; amount that is at least 50 percent of the grassland reserve program established under ‘‘(ii) cropland or grassland that was used amount contributed by the Secretary. section 1238N, and the farmland protection for agricultural production prior to flooding ‘‘(C) WAIVER AUTHORITY.—In the case of program established under section 1238I; from the natural overflow of a closed basin grassland of special environmental signifi- ‘‘(2) restore, protect, and enhance wetland lake or pothole, as determined by the Sec- cance, as determined by the Secretary, the on eligible land; retary, together (where practicable) with the Secretary may provide up to 75 percent of ‘‘(3) protect the agricultural use, viability, adjacent land that is functionally dependent the fair market value of the agricultural and related conservation values of eligible on the cropland or grassland; land easement.

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‘‘(3) EVALUATION AND RANKING OF APPLICA- ‘‘(iii) accept proposals for cost-share as- ‘‘(iii) the Secretary determines that the TIONS.— sistance for the purchase of agricultural land land was acquired under circumstances that ‘‘(A) CRITERIA.—The Secretary shall estab- easements throughout the duration of such give adequate assurances that such land was lish evaluation and ranking criteria to maxi- agreements. not acquired for the purposes of placing it in mize the benefit of Federal investment under ‘‘(B) CERTIFICATION CRITERIA.—In order to the program. the program. be certified, an eligible entity shall dem- ‘‘(3) EVALUATION AND RANKING OF OFFERS.— ‘‘(B) CONSIDERATIONS.—In establishing the onstrate to the Secretary that the entity ‘‘(A) CRITERIA.—The Secretary shall estab- criteria, the Secretary shall emphasize sup- will maintain, at a minimum, for the dura- lish evaluation and ranking criteria to maxi- port for— tion of the agreement— mize the benefit of Federal investment under ‘‘(i) protecting agricultural uses and re- ‘‘(i) a plan for administering easements the program. lated conservation values of the land; and that is consistent with the purpose of this ‘‘(B) CONSIDERATIONS.—When evaluating of- ‘‘(ii) maximizing the protection of contig- subtitle; fers from landowners, the Secretary may uous acres devoted to agricultural use. ‘‘(ii) the capacity and resources to monitor consider— ‘‘(C) BIDDING DOWN.—If the Secretary deter- and enforce agricultural land easements; and ‘‘(i) the conservation benefits of obtaining mines that 2 or more applications for cost- ‘‘(iii) policies and procedures to ensure— an easement or 30-year contract, including share assistance are comparable in achieving ‘‘(I) the long-term integrity of agricultural the potential environmental benefits if the the purpose of the program, the Secretary land easements on eligible land; land was removed from agricultural produc- shall not assign a higher priority to any of ‘‘(II) timely completion of acquisitions of tion; those applications solely on the basis of less- easements; and ‘‘(ii) the cost-effectiveness of each ease- er cost to the program. ‘‘(III) timely and complete evaluation and ment or 30-year contract, so as to maximize ‘‘(4) AGREEMENTS WITH ELIGIBLE ENTITIES.— reporting to the Secretary on the use of the environmental benefits per dollar ex- ‘‘(A) IN GENERAL.—The Secretary shall funds provided under the program. pended; enter into agreements with eligible entities ‘‘(C) REVIEW AND REVISION.— ‘‘(iii) whether the landowner or another to stipulate the terms and conditions under ‘‘(i) REVIEW.—The Secretary shall conduct person is offering to contribute financially which the eligible entity is permitted to use a review of eligible entities certified under to the cost of the easement or 30-year con- cost-share assistance provided under this subparagraph (A) every 3 years to ensure section. that such entities are meeting the criteria tract to leverage Federal funds; and ‘‘(iv) such other factors as the Secretary ‘‘(B) LENGTH OF AGREEMENTS.—An agree- established under subparagraph (B). determines are necessary to carry out the ment shall be for a term that is— ‘‘(ii) REVOCATION.—If the Secretary finds ‘‘(i) in the case of an eligible entity cer- that the certified entity no longer meets the purposes of the program. tified under the process described in para- criteria established under subparagraph (B), ‘‘(C) PRIORITY.—The Secretary shall place graph (5), a minimum of 5 years; and the Secretary may— priority on acquiring easements based on the ‘‘(ii) for all other eligible entities, at least ‘‘(I) allow the certified entity a specified value of the easement for protecting and en- 3, but not more than 5 years. period of time, at a minimum 180 days, in hancing habitat for migratory birds and ‘‘(C) MINIMUM TERMS AND CONDITIONS.—An which to take such actions as may be nec- other wildlife. eligible entity shall be authorized to use its essary to meet the criteria; and ‘‘(4) AGREEMENT.—To be eligible to place own terms and conditions for agricultural ‘‘(II) revoke the certification of the entity, eligible land into the program through a land easements so long as the Secretary de- if after the specified period of time, the cer- wetland easement, the owner of such land termines such terms and conditions— tified entity does not meet such criteria. shall enter into an agreement with the Sec- ‘‘(i) are consistent with the purposes of the ‘‘(c) TECHNICAL ASSISTANCE.—The Sec- retary to— program; retary may provide technical assistance, if ‘‘(A) grant an easement on such land to the ‘‘(ii) are permanent or for the maximum requested, to assist in— Secretary; duration allowed under applicable State law; ‘‘(1) compliance with the terms and condi- ‘‘(B) authorize the implementation of a ‘‘(iii) permit effective enforcement of the tions of easements; and wetland easement plan; conservation purposes of such easements, in- ‘‘(2) implementation of an agricultural ‘‘(C) create and record an appropriate deed cluding appropriate restrictions depending land easement plan. restriction in accordance with applicable on the purposes for which the easement is ‘‘SEC. 1265C. WETLAND EASEMENTS. State law to reflect the easement agreed to; acquired; ‘‘(a) AVAILABILITY OF ASSISTANCE.—The ‘‘(D) provide a written statement of con- ‘‘(iv) include a right of enforcement for the Secretary shall provide assistance to owners sent to such easement signed by those hold- Secretary; of eligible land to restore, protect, and en- ing a security interest in the land; ‘‘(v) subject the land purchased to an agri- hance wetland through— ‘‘(E) comply with the terms and conditions cultural land easement plan that— ‘‘(1) easements and related wetland ease- of the easement and any related agreements; ‘‘(I) describes the activities which promote ment plans; and and the long-term viability of the land to meet ‘‘(2) technical assistance. ‘‘(F) permanently retire any existing crop- the purposes for which the easement was ac- ‘‘(b) EASEMENTS.— land base and allotment history for the land quired; ‘‘(1) METHOD OF ENROLLMENT.—The Sec- on which the easement has been obtained. ‘‘(II) requires the management of grassland retary shall enroll eligible land through the ‘‘(5) TERMS AND CONDITIONS OF EASEMENT.— according to a grassland management plan; use of— ‘‘(A) IN GENERAL.—A wetland easement and ‘‘(A) 30-year easements; shall include terms and conditions that— ‘‘(III) includes a conservation plan, where ‘‘(B) permanent easements; ‘‘(i) permit— appropriate, and requires, at the option of ‘‘(C) easements for the maximum duration ‘‘(I) repairs, improvements, and inspections the Secretary, the conversion of highly erod- allowed under applicable State laws; or on the land that are necessary to maintain ible cropland to less intensive uses; and ‘‘(D) as an option for Indian tribes only, 30- existing public drainage systems; and ‘‘(vi) include a limit on the impervious sur- year contracts. ‘‘(II) owners to control public access on the faces to be allowed that is consistent with ‘‘(2) LIMITATIONS.— easement areas while identifying access the agricultural activities to be conducted. ‘‘(A) INELIGIBLE LAND.—The Secretary may routes to be used for restoration activities ‘‘(D) SUBSTITUTION OF QUALIFIED not acquire easements on— and management and easement monitoring; PROJECTS.—An agreement shall allow, upon ‘‘(i) land established to trees under the ‘‘(ii) prohibit— mutual agreement of the parties, substi- conservation reserve program, except in ‘‘(I) the alteration of wildlife habitat and tution of qualified projects that are identi- cases where the Secretary determines it other natural features of such land, unless fied at the time of the proposed substitution. would further the purposes of the program; specifically authorized by the Secretary; ‘‘(E) EFFECT OF VIOLATION.—If a violation and ‘‘(II) the spraying of such land with chemi- occurs of a term or condition of an agree- ‘‘(ii) farmed wetland or converted wetland cals or the mowing of such land, except ment under this subsection— where the conversion was not commenced where such spraying or mowing is authorized ‘‘(i) the agreement may be terminated; and prior to December 23, 1985. by the Secretary or is necessary— ‘‘(ii) the Secretary may require the eligible ‘‘(B) CHANGES IN OWNERSHIP.—No easement ‘‘(aa) to comply with Federal or State nox- entity to refund all or part of any payments shall be created on land that has changed ious weed control laws; received by the entity under the program, ownership during the preceding 24-month pe- ‘‘(bb) to comply with a Federal or State with interest on the payments as determined riod unless— emergency pest treatment program; or appropriate by the Secretary. ‘‘(i) the new ownership was acquired by ‘‘(cc) to meet habitat needs of specific ‘‘(5) CERTIFICATION OF ELIGIBLE ENTITIES.— will or succession as a result of the death of wildlife species; ‘‘(A) CERTIFICATION PROCESS.—The Sec- the previous owner; ‘‘(III) any activities to be carried out on retary shall establish a process under which ‘‘(ii)(I) the ownership change occurred be- the owner’s or successor’s land that is imme- the Secretary may— cause of foreclosure on the land; and diately adjacent to, and functionally related ‘‘(i) directly certify eligible entities that ‘‘(II) immediately before the foreclosure, to, the land that is subject to the easement meet established criteria; the owner of the land exercises a right of re- if such activities will alter, degrade, or oth- ‘‘(ii) enter into long-term agreements with demption from the mortgage holder in ac- erwise diminish the functional value of the certified eligible entities; and cordance with State law; or eligible land; and

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ADMINISTRATION. that would tend to defeat the purposes of the ment. ‘‘(a) INELIGIBLE LAND.—The Secretary may program, as determined by the Secretary; ‘‘(c) EASEMENT RESTORATION.— not acquire an easement under the program ‘‘(iii) provide for the efficient and effective ‘‘(1) IN GENERAL.—The Secretary shall pro- on— establishment of wetland functions and val- vide financial assistance to carry out the es- ‘‘(1) land owned by an agency of the United ues; and tablishment of conservation measures and States, other than land held in trust for In- ‘‘(iv) include such additional provisions as practices and protect wetland functions and dian tribes; the Secretary determines are desirable to values, including necessary maintenance ac- ‘‘(2) land owned in fee title by a State, in- carry out the program or facilitate the prac- tivities, as set forth in a wetland easement cluding an agency or a subdivision of a tical administration thereof. plan. State, or a unit of local government; ‘‘(B) VIOLATION.—On the violation of the ‘‘(2) PAYMENTS.—The Secretary shall— ‘‘(3) land subject to an easement or deed re- terms or conditions of the easement, the ‘‘(A) in the case of a permanent easement, striction which, as determined by the Sec- easement shall remain in force and the Sec- pay an amount that is not less than 75 per- retary, provides similar protection as would retary may require the owner to refund all cent, but not more than 100 percent, of the be provided by enrollment in the program; or part of any payments received by the eligible costs; and and owner under the program, together with in- ‘‘(B) in the case of a 30-year contract or 30- ‘‘(4) land where the purposes of the pro- terest thereon as determined appropriate by year easement, pay an amount that is not gram would be undermined due to on-site or the Secretary. less than 50 percent, but not more than 75 off-site conditions, such as risk of hazardous ‘‘(C) COMPATIBLE USES.—Land subject to a percent, of the eligible costs. substances, proposed or existing rights of wetland easement may be used for compat- ‘‘(d) TECHNICAL ASSISTANCE.— way, infrastructure development, or adjacent ible economic uses, including such activities ‘‘(1) IN GENERAL.—The Secretary shall as- land uses. as hunting and fishing, managed timber har- sist owners in complying with the terms and ‘‘(b) PRIORITY.—In evaluating applications vest, or periodic haying or grazing, if such conditions of easements and 30-year con- under the program, the Secretary may give use is specifically permitted by the wetland tracts. priority to land that is currently enrolled in easement plan and is consistent with the ‘‘(2) CONTRACTS OR AGREEMENTS.—The Sec- the conservation reserve program in a con- long-term protection and enhancement of retary may enter into 1 or more contracts tract that is set to expire within 1 year and— the wetland resources for which the ease- with private entities or agreements with a ‘‘(1) in the case of an agricultural land ment was established. State, non-governmental organization, or In- easement, is grassland that would benefit ‘‘(D) RESERVATION OF GRAZING RIGHTS.—The dian tribe to carry out necessary restora- from protection under a long-term easement; Secretary may include in the terms and con- tion, enhancement or maintenance of an and ditions of an easement a provision under easement if the Secretary determines that ‘‘(2) in the case of a wetland easement, is a which the owner reserves grazing rights if— the contract or agreement will advance the wetland or related area with the highest ‘‘(i) the Secretary determines that the res- purposes of the program. functions and values and is likely to return ervation and use of the grazing rights— ‘‘(e) WETLAND ENHANCEMENT OPTION.—The to production after the land leaves the con- ‘‘(I) is compatible with the land subject to Secretary may enter into 1 or more agree- servation reserve program. the easement; ments with a State (including a political ‘‘(c) SUBORDINATION, EXCHANGE, MODIFICA- ‘‘(II) is consistent with the historical nat- subdivision or agency of a State), nongovern- TION, AND TERMINATION.— ural uses of the land and long-term protec- mental organization, or Indian tribe to carry ‘‘(1) IN GENERAL.—The Secretary may sub- tion and enhancement goals for which the out a special wetland enhancement option ordinate, exchange, terminate, or modify easement was established; and that the Secretary determines would ad- any interest in land, or portion of such inter- ‘‘(III) complies with the wetland easement vance the purposes of the program. est, administered by the Secretary, either di- plan; and ‘‘(f) ADMINISTRATION.— rectly or on behalf of the Commodity Credit ‘‘(ii) the agreement provides for a commen- ‘‘(1) WETLAND EASEMENT PLAN.—The Sec- Corporation under the program when the surate reduction in the easement payment to retary shall develop a wetland easement plan Secretary determines that— account for the grazing value, as determined for eligible land subject to a wetland ease- ‘‘(A) it is in the Federal Government’s in- by the Secretary. ment, which will include the practices and terest to subordinate, exchange, modify or ‘‘(E) APPLICATION.—The relevant provisions activities necessary to restore, protect, en- terminate the interest in land; of this paragraph shall also apply to a 30- hance, and maintain the enrolled land. ‘‘(B) the subordination, exchange, modi- year contract. ‘‘(2) DELEGATION OF EASEMENT ADMINISTRA- fication, or termination action— ‘‘(6) COMPENSATION.— TION.— ‘‘(i) will address a compelling public need ‘‘(A) DETERMINATION.— ‘‘(A) IN GENERAL.—The Secretary may dele- for which there is no practicable alternative, ‘‘(i) IN GENERAL.—The Secretary shall pay gate any of the easement management, mon- or as compensation for a permanent easement itoring, and enforcement responsibilities of ‘‘(ii) such action will further the practical acquired an amount necessary to encourage the Secretary to other Federal or State administration of the program; and enrollment in the program based on the low- agencies that have the appropriate author- ‘‘(C) the subordination, exchange, modi- est of— ity, expertise and resources necessary to fication, or termination action will result in ‘‘(I) the fair market value of the land, as carry out such delegated responsibilities or comparable conservation value and equiva- determined by the Secretary, using the Uni- to other conservation organizations if the lent or greater economic value to the United form Standards of Professional Appraisal Secretary determines the organization has States. Practices or an area-wide market analysis or similar expertise and resources. ‘‘(2) CONSULTATION.—The Secretary shall survey; ‘‘(B) LIMITATION.—The Secretary shall not work with the current owner, and eligible ‘‘(II) the amount corresponding to a geo- delegate any of the monitoring or enforce- entity if applicable, to address any subordi- graphical cap, as determined by the Sec- ment responsibilities under the program to nation, exchange, termination, or modifica- retary in regulations; or conservation organizations. tion of the interest, or portion of such inter- ‘‘(III) the offer made by the landowner. ‘‘(3) PAYMENTS.— est in land. ‘‘(ii) OTHER.—Compensation for a 30-year ‘‘(A) TIMING OF PAYMENTS.—The Secretary ‘‘(3) NOTICE.—At least 90 days before taking contract or 30-year easement shall be not shall provide payment for obligations in- any termination action described in para- less than 50 percent, but not more than 75 curred by the Secretary under this section— graph (1), the Secretary shall provide written percent, of the compensation that would be ‘‘(i) with respect to any easement restora- notice of such action to the Committee on paid for a permanent easement. tion obligation as soon as possible after the Agriculture of the House of Representatives ‘‘(B) FORM OF PAYMENT.—Compensation obligation is incurred; and and the Committee on Agriculture, Nutri- shall be provided by the Secretary in the ‘‘(ii) with respect to any annual easement tion, and Forestry of the Senate. form of a cash payment, in an amount deter- payment obligation incurred by the Sec- ‘‘(d) LAND ENROLLED IN OTHER PROGRAMS.— mined under subparagraph (A). retary as soon as possible after October 1 of ‘‘(1) CONSERVATION RESERVE PROGRAM.—The ‘‘(C) PAYMENT SCHEDULE.— each calendar year. Secretary may terminate or modify an exist- ‘‘(i) EASEMENTS VALUED AT LESS THAN ‘‘(B) PAYMENTS TO OTHERS.—If an owner ing contract entered into under section $500,000.—For easements valued at $500,000 or who is entitled to a payment dies, becomes 1231(a) if eligible land that is subject to such less, the Secretary may provide easement incompetent, is otherwise unable to receive contract is transferred into the program. payments in not more than 10 annual pay- such payment, or is succeeded by another ‘‘(2) OTHER.—Land enrolled in the wetlands ments. person or entity who renders or completes reserve program, grassland reserve program, ‘‘(ii) EASEMENTS VALUED AT MORE THAN the required performance, the Secretary or farmland protection program shall be con- $500,000.—For easements valued at more than shall make such payment, in accordance sidered enrolled in this program. $500,000, the Secretary may provide easement with regulations prescribed by the Secretary ‘‘(e) ALLOCATION OF FUNDS FOR AGRICUL- payments in at least 5, but not more than 10 and without regard to any other provision of TURAL LAND EASEMENTS.—Of the funds made annual payments, except that, if the Sec- law, in such manner as the Secretary deter- available under section 1241 to carry out the retary determines it would further the pur- mines is fair and reasonable in light of all of program for a fiscal year, the Secretary poses of the program, the Secretary may the circumstances. shall, to the extent practicable, use no less

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00092 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4023 than 40 percent for agricultural land ease- life, and related natural resources on a re- except that the Secretary may extend the ments.’’. gional or watershed scale; and agreement 1 time for up to 12 months when (b) COMPLIANCE WITH CERTAIN REQUIRE- ‘‘(3) to encourage partners to cooperate an extension is necessary to meet the objec- MENTS.—Before an eligible entity or owner of with producers in— tives of the program. eligible land may receive assistance under ‘‘(A) meeting or avoiding the need for na- ‘‘(c) DUTIES OF PARTNERS.— subtitle H of title XII of the Food Security tional, State, and local natural resource reg- ‘‘(1) IN GENERAL.—Under a partnership Act of 1985, the eligible entity or person shall ulatory requirements related to production; agreement, the eligible partner shall— agree, during the crop year for which the as- and ‘‘(A) define the scope of a project, includ- sistance is provided and in exchange for the ‘‘(B) implementing projects that will result ing— assistance— in the installation and maintenance of eligi- ‘‘(i) the eligible activities to be imple- (1) to comply with applicable conservation ble activities that affect multiple agricul- mented; requirements under subtitle B of title XII of tural or nonindustrial private forest oper- ‘‘(ii) the potential agricultural or non- that Act (16 U.S.C. 3811 et seq.); and ations on a local, regional, State, or multi- industrial private forest operations affected; (2) to comply with applicable wetland pro- State basis. ‘‘(iii) the local, State, multi-State or other geographic area covered; and tection requirements under subtitle C of ‘‘SEC. 1271A. DEFINITIONS. ‘‘(iv) the planning, outreach, implementa- title XII of that Act (16 U.S.C. 3821 et seq.). ‘‘In this subtitle: (c) CROSS REFERENCE.—Section 1244 of the tion and assessment to be conducted; ‘‘(1) COVERED PROGRAMS.—The term ‘cov- ‘‘(B) conduct outreach and education to Food Security Act of 1985 (16 U.S.C. 3844) is ered programs’ means— producers for potential participation in the amended— ‘‘(A) the agricultural conservation ease- project; (1) in subsection (c)— ment program; (A) in paragraph (1)— ‘‘(C) at the request of a producer, act on ‘‘(B) the environmental quality incentives behalf of a producer participating in the (i) by inserting ‘‘and’’ at the end of sub- program; and paragraph (A); project in applying for assistance under sec- ‘‘(C) the conservation stewardship pro- tion 1271C; (ii) by striking ‘‘and’’ at the end of sub- gram. paragraph (B); and ‘‘(D) leverage financial or technical assist- ‘‘(2) ELIGIBLE ACTIVITY.—The term ‘eligible ance provided by the Secretary with addi- (iii) by striking subparagraph (C); activity’ means any of the following con- (B) by redesignating paragraph (2) as para- tional funds to help achieve the project ob- servation activities when delivered through jectives; graph (3); and a covered program: (C) by inserting after paragraph (1) the fol- ‘‘(E) conduct an assessment of the project’s ‘‘(A) Water quality restoration or enhance- effects; and lowing: ment projects, including nutrient manage- ‘‘(2) the Agricultural Conservation Ease- ‘‘(F) at the conclusion of the project, re- ment and sediment reduction. port to the Secretary on its results and funds ment Program established under subtitle H; ‘‘(B) Water quantity conservation, restora- and’’; and leveraged. tion, or enhancement projects relating to ‘‘(2) CONTRIBUTION.—A partner shall pro- (2) in subsection (f)— surface water and groundwater resources, in- (A) in paragraph (1)— vide a significant portion of the overall costs cluding— of the scope of the project as determined by (i) in subparagraph (A), by striking ‘‘pro- ‘‘(i) the conversion of irrigated cropland to grams administered under subchapters B and the Secretary. the production of less water-intensive agri- ‘‘(d) APPLICATIONS.— C of chapter 1 of subtitle D’’ and inserting cultural commodities or dryland farming; ‘‘(1) COMPETITIVE PROCESS.—The Secretary ‘‘conservation reserve program established and shall conduct a competitive process to select under subchapter B of chapter 1 of subtitle D ‘‘(ii) irrigation system improvement and applications for partnership agreements and and the Agricultural Conservation Easement irrigation efficiency enhancement. may assess and rank applications with simi- Program under subtitle H using wetland ‘‘(C) Drought mitigation. lar conservation purposes as a group. easements under section 1265C’’; and ‘‘(D) Flood prevention. ‘‘(2) CRITERIA USED.—In carrying out the (ii) in subparagraph (B), by striking ‘‘sub- ‘‘(E) Water retention. process described in paragraph (1), the Sec- chapter C of chapter 1 of subtitle D’’ and in- ‘‘(F) Habitat conservation, restoration, and retary shall make public the criteria used in serting ‘‘the Agricultural Conservation Ease- enhancement. evaluating applications. ment Program under subtitle H using wet- ‘‘(G) Erosion control. ‘‘(3) CONTENT.—An application to the Sec- land easements under section 1265C’’; and ‘‘(H) Other related activities that the Sec- retary shall include a description of— (B) in paragraph (4), by striking ‘‘sub- retary determines will help achieve con- ‘‘(A) the scope of the project as described chapter C’’ and inserting ‘‘subchapter B’’. servation benefits. in subsection (c)(1)(A); (d) EFFECTIVE DATE.—The amendments ‘‘(3) ELIGIBLE PARTNER.—The term ‘eligible ‘‘(B) the plan for monitoring, evaluating, made by this section shall take effect on Oc- partner’ means any of the following: and reporting on progress made towards tober 1, 2012. ‘‘(A) An agricultural or silvicultural pro- achieving the project’s objectives; Subtitle E—Regional Conservation ducer association or other group of pro- ‘‘(C) the program resources requested for Partnership Program ducers. the project, including the covered programs SEC. 2401. REGIONAL CONSERVATION PARTNER- ‘‘(B) A State or unit of local government. to be used and estimated funding needed SHIP PROGRAM. ‘‘(C) An Indian tribe. from the Secretary; (a) IN GENERAL.—Title XII of the Food Se- ‘‘(D) A farmer cooperative. ‘‘(D) the partners collaborating to achieve curity Act of 1985 is amended by inserting ‘‘(E) An institution of higher education. project objectives, including their roles, re- after subtitle H (as added by section 2301) the ‘‘(F) An organization with an established sponsibilities, capabilities, and financial following: history of working cooperatively with pro- contribution; and ‘‘Subtitle I—Regional Conservation ducers on agricultural land, as determined ‘‘(E) any other elements the Secretary con- Partnership Program by the Secretary, to address— siders necessary to adequately evaluate and ‘‘SEC. 1271. ESTABLISHMENT AND PURPOSES. ‘‘(i) local conservation priorities related to competitively select applications for funding ‘‘(a) ESTABLISHMENT.—The Secretary shall agricultural production, wildlife habitat de- under the program. establish a Regional Conservation Partner- velopment, and nonindustrial private forest ‘‘(4) APPLICATION SELECTION.— ship Program to implement eligible activi- land management; or ‘‘(A) PRIORITY TO CERTAIN APPLICATIONS.— ties through— ‘‘(ii) critical watershed-scale soil erosion, The Secretary shall give a higher priority to ‘‘(1) partnership agreements with eligible water quality, sediment reduction, or other applications that— partners; and natural resource concerns. ‘‘(i) assist producers in meeting or avoiding ‘‘(2) contracts with producers. ‘‘(4) PARTNERSHIP AGREEMENT.—The term the need for a natural resource regulatory ‘‘(b) PURPOSES.—The purposes of the pro- ‘partnership agreement’ means an agreement requirement; gram are— between the Secretary and an eligible part- ‘‘(ii) significantly leverage non-Federal fi- ‘‘(1) to combine the purposes and coordi- ner. nancial and technical resources and coordi- nate the functions of— ‘‘(5) PROGRAM.—The term ‘program’ means nate with other local, State, regional, or na- ‘‘(A) the agricultural water enhancement the Regional Conservation Partnership Pro- tional efforts; program established under section 1240I; gram established by this subtitle. ‘‘(iii) deliver high percentages of applied ‘‘(B) the Chesapeake Bay watershed pro- ‘‘SEC. 1271B. REGIONAL CONSERVATION PART- conservation to address conservation prior- gram established under section 1240Q; NERSHIPS. ities or local, State, regional, or national ‘‘(C) the cooperative conservation partner- ‘‘(a) PARTNERSHIP AGREEMENTS AUTHOR- conservation initiatives; or ship initiative established under section 1243; IZED.—The Secretary may enter into a part- ‘‘(iv) provide innovation in conservation and nership agreement with an eligible partner methods and delivery, including outcome- ‘‘(D) the Great Lakes basin program for to implement a project that will assist pro- based performance measures and methods. soil erosion and sediment control established ducers with installing and maintaining an el- ‘‘(B) OTHER APPLICATIONS.—The Secretary under section 1240P;. igible activity. may give priority to applications that— ‘‘(2) to further the conservation, restora- ‘‘(b) LENGTH.—A partnership agreement ‘‘(i) have a high percentage of producers in tion, and sustainable use of soil, water, wild- shall be for a period not to exceed 5 years, the area to be covered by the agreement; or

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00093 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4024 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(ii) meet other factors that are important of conservation practices and systems that ‘‘SEC. 1271F. CRITICAL CONSERVATION AREAS. for achieving the purposes of the program, as improve nutrient management. ‘‘(a) IN GENERAL.—When administering the determined by the Secretary. ‘‘(3) WAIVER AUTHORITY.—To assist in the funding described in section 1271D(d)(3), the ‘‘SEC. 1271C. ASSISTANCE TO PRODUCERS. implementation of the program, the Sec- Secretary shall select applications for part- nership agreements and producer contracts ‘‘(a) IN GENERAL.—The Secretary shall retary may waive the applicability of the enter into contracts to provide financial and limitation in section 1001D(b)(2) of this Act within designated critical conservation technical assistance to— for participating producers if the Secretary areas. ‘‘(b) CRITICAL CONSERVATION AREA DES- ‘‘(1) producers participating in a project determines that the waiver is necessary to IGNATIONS.— with an eligible partner as described in sec- fulfill the objectives of the program. ‘‘(1) IN GENERAL.—The Secretary shall des- tion 1271B; or ‘‘SEC. 1271D. FUNDING. ignate up to 6 geographical areas as critical ‘‘(2) producers that fit within the scope of ‘‘(a) AVAILABILITY OF FUNDS.—The Sec- conservation areas based on the degree to a project described in section 1271B or a crit- retary shall use $100,000,000 of the funds of which an area— ical conservation area designated pursuant the Commodity Credit Corporation for each ‘‘(A) includes multiple States with signifi- to section 1271F, but who are seeking to im- of fiscal years 2013 through 2017 to carry out cant agricultural production; plement an eligible activity independent of a the program established under this subtitle. ‘‘(B) is covered by an existing regional, partner. ‘‘(b) DURATION OF AVAILABILITY.—Funds State, binational, or multistate agreement ‘‘(b) TERMS AND CONDITIONS.— made available under subsection (a) shall re- or plan that has established objectives, goals ‘‘(1) CONSISTENCY WITH PROGRAM RULES.— main available until expended. and work plans and is adopted by a Federal, ‘‘(A) IN GENERAL.—Except as provided in ‘‘(c) ADDITIONAL FUNDING AND ACRES.— State, or regional authority; subparagraph (B), the Secretary shall ensure ‘‘(1) IN GENERAL.—In addition to the funds ‘‘(C) has water quality concerns, including that the terms and conditions of a contract made available under subsection (a), the Sec- concerns for reducing erosion, promoting under this section are consistent with the retary shall reserve 8 percent of the funds sediment control, and addressing nutrient applicable rules of the covered programs to and acres made available for a covered pro- management activities affecting large bodies be used as part of the project, as described in gram for each of fiscal years 2013 through of water of regional, national, or inter- the application under section 1271B(d)(3)(C). 2017 in order to ensure additional resources national significance; ‘‘(B) ADJUSTMENTS.—Except for statutory are available to carry out this program. ‘‘(D) has water quantity concerns, includ- program requirements governing appeals, ‘‘(2) UNUSED FUNDS AND ACRES.—Any funds ing— payment limitations, and conservation com- or acres reserved under paragraph (1) for a ‘‘(i) concerns for groundwater, surface pliance, the Secretary may adjust the discre- fiscal year from a covered program that are water, aquifer, or other water sources; or tionary program rules of a covered pro- not obligated under this program by April 1 ‘‘(ii) a need to promote water retention and gram— of that fiscal year shall be returned for use flood prevention; or ‘‘(i) to provide a simplified application and under the covered program. ‘‘(E) is subject to regulatory requirements evaluation process; and ‘‘(d) ALLOCATION OF FUNDING.—Of the funds that could reduce the economic scope of ag- ‘‘(ii) to better reflect unique local cir- and acres made available for the program ricultural operations within the area. cumstances and purposes if the Secretary de- under subsections (a) and (c), the Secretary ‘‘(2) EXPIRATION.—Critical conservation termines such adjustments are necessary to shall allocate— area designations under this section shall ex- achieve the purposes of the program. ‘‘(1) 25 percent of the funds and acres to pire after 5 years, subject to redesignation, ‘‘(2) ALTERNATIVE FUNDING ARRANGE- projects based on a State competitive proc- except that the Secretary may withdraw des- MENTS.— ess administered by the State conserva- ignation from an area if the Secretary finds ‘‘(A) IN GENERAL.—For the purposes of pro- tionist, with the advice of the State tech- the area no longer meets the conditions de- viding assistance for land described in sub- nical committee; scribed in paragraph (1). section (a) and section 1271F, the Secretary ‘‘(2) 40 percent of the funds and acres to ‘‘(c) ADMINISTRATION.— may enter into alternative funding arrange- projects based on a national competitive ‘‘(1) IN GENERAL.—Except as provided in ments with a multistate water resource process to be established by the Secretary; paragraph (2), the Secretary shall administer agency or authority if— and any partnership agreement or producer con- ‘‘(i) the Secretary determines that the ‘‘(3) 35 percent of the funds and acres to tract under this section in a manner that is goals and objectives of the program will be projects for the critical conservation areas consistent with the terms of the program. met by the alternative funding arrange- designated in section 1271F. ‘‘(2) RELATIONSHIP TO EXISTING ACTIVITY.— ments; ‘‘(e) LIMITATION ON ADMINISTRATIVE EX- The Secretary shall, to the maximum extent ‘‘(ii) the agency or authority certifies that PENSES.—None of the funds made available practicable, ensure that eligible activities the limitations established under this sec- under the program may be used to pay for carried out in critical conservation areas tion on agreements with individual pro- the administrative expenses of partners. designated under this section complement ducers will not be exceeded; and ‘‘SEC. 1271E. ADMINISTRATION. and are consistent with other Federal and ‘‘(iii) all participating producers meet ap- State programs and water quality and quan- ‘‘(a) DISCLOSURE.—In addition to the cri- plicable payment eligibility provisions. tity strategies.’’. ‘‘(B) CONDITIONS.—As a condition on re- teria used in evaluating applications as de- (b) EFFECTIVE DATE.—The amendment ceipt of funding under subparagraph (A), the scribed in section 1271B(d)(2), the Secretary made by this section shall take effect on Oc- multistate water resource agency or author- shall make publicly available information on tober 1, 2012. ity shall agree— projects selected through the competitive Subtitle F—Other Conservation Programs ‘‘(i) to submit an annual independent audit process described in section 1271B(d)(1). SEC. 2501. CONSERVATION OF PRIVATE GRAZING to the Secretary that describes the use of ‘‘(b) REPORTING.—Not later than December LAND. funds under this paragraph; 31, 2013, and for every 2 years thereafter, the Section 1240M(e) of the Food Security Act ‘‘(ii) to provide any data necessary for the Secretary shall submit to the Committee on of 1985 (16 U.S.C. 3839bb(e)) is amended in- Secretary to issue a report on the use of Agriculture of the House of Representatives serting ‘‘and $30,000,000 for each of fiscal funds under this paragraph; and and the Committee on Agriculture, Nutri- years 2013 through 2017’’ before the period at ‘‘(iii) not to use any funds for administra- tion, and Forestry of the Senate a report on the end. tion or contracting with another entity. the status of projects funded under the pro- SEC. 2502. GRASSROOTS SOURCE WATER PRO- ‘‘(C) LIMITATION.—The Secretary may enter gram, including— TECTION PROGRAM. into not more than 10 alternative funding ar- ‘‘(1) the number and types of partners and Section 1240O(b) of the Food Security Act rangements under this paragraph. producers participating in the partnership of 1985 (16 U.S.C. 3839bb–2(b)) is amended by ‘‘(c) PAYMENTS.— agreements selected; inserting ‘‘and $15,000,000 for each of fiscal ‘‘(1) IN GENERAL.—In accordance with stat- ‘‘(2) the number of producers receiving as- years 2013 through 2017’’ before the period at utory requirements of the covered programs sistance; the end. involved, the Secretary may make payments ‘‘(3) total funding committed to projects, SEC. 2503. VOLUNTARY PUBLIC ACCESS AND to a producer in an amount determined by including Federal and non-Federal resources; HABITAT INCENTIVE PROGRAM. the Secretary to be necessary to achieve the and (a) FUNDING.—Section 1240R(f) of the Food purposes of the program. ‘‘(4) a description of how the funds under Security Act of 1985 (16 U.S.C. 3839bb–5(f)) is ‘‘(2) PAYMENTS TO CERTAIN PRODUCERS.— section 1271C(b)(3) are being administered, amended by inserting ‘‘and $40,000,000 for the The Secretary may provide payments for a including— period of fiscal years 2013 through 2017’’ be- period of 5 years— ‘‘(A) any oversight mechanisms that the fore the period at the end . ‘‘(A) to producers participating in a project Secretary has implemented; (b) REPORT ON PROGRAM EFFECTIVENESS.— that addresses water quantity concerns and ‘‘(B) the process through which the Sec- Not later than 2 years after the date of en- in an amount sufficient to encourage conver- retary is resolving appeals by program par- actment of this Act, the Secretary of Agri- sion from irrigated to dryland farming; and ticipants; and culture shall submit to the Committee on ‘‘(B) to producers participating in a project ‘‘(C) the means by which the Secretary is Agriculture of the House of Representatives that addresses water quality concerns and in tracking adherence to any applicable provi- and the Committee on Agriculture, Nutri- an amount sufficient to encourage adoption sions for payment eligibility. tion, and Forestry of the Senate a report

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00094 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4025 evaluating the effectiveness of the voluntary that the watershed and surrounding land is (a)(3)(B) through willing sellers or willing public access and habitat incentive program consistently flooded; or participants only— established by section 1240R of the Food Se- ‘‘(B) considered terminal because it has no ‘‘(A) to lease water; curity Act of 1985 (16 U.S.C. 3839bb–5), includ- natural outlet and is at risk due to a history ‘‘(B) to purchase land, water appurtenant ing— of consistent Federal assistance to address to the land, and related interests; and (1) identifying cooperating agencies; critical resource conditions, including insuf- ‘‘(C) to carry out research, support and (2) identifying the number of land holdings ficient water available to meet the needs of conservation activities for associated fish, and total acres enrolled by State; the lake, general uses, and water rights. wildlife, plant, and habitat resources.’’ (3) evaluating the extent of improved ac- ‘‘(b) ASSISTANCE.—The Secretary shall— ‘‘(2) EXCLUSIONS.—The Secretary of the In- cess on eligible land, improved wildlife habi- ‘‘(1) provide grants under subsection (c) for terior may not use this subsection to deliver tat, and related economic benefits; and the purchase of eligible land impacted by a assistance to the Great Salt Lake in Utah, (4) any other relevant information and terminal lake described in subsection lakes that are considered dry lakes, or other data relating to the program that would be (a)(3)(A); and lakes that do not meet the purposes of this helpful to such Committees. ‘‘(2) provide funds to the Secretary of the section, as determined by the Secretary of (c) EFFECTIVE DATE.—The amendment Interior pursuant to subsection (e)(2) with the Interior. made by this section shall take effect on Oc- assistance in accordance with subsection (d) ‘‘(3) TRANSITIONAL PROVISION.— tober 1, 2012. for terminal lakes described in subsection ‘‘(A) IN GENERAL.—Notwithstanding any SEC. 2504. AGRICULTURE CONSERVATION EXPE- (a)(3)(B). other provision of this section, any funds RIENCED SERVICES PROGRAM. ‘‘(c) LAND PURCHASE GRANTS.— made available before the date of enactment ‘‘(1) IN GENERAL.—Using funds provided (a) FUNDING.—Section 1252 of the Food Se- of the Agriculture Reform, Food, and Jobs curity Act of 1985 (16 U.S.C. 3851) is amended under subsection (e)(1), the Secretary shall Act of 2012 under a provision of law described by striking subsection (c) and inserting the make available land purchase grants to in subparagraph (B) shall remain available following: States for the purchase of eligible land in ac- using the provisions of law (including regula- cordance with this subsection. ‘‘(c) FUNDING.— tions) in effect on the day before the date of ‘‘(2) IMPLEMENTATION.— ‘‘(1) IN GENERAL.—The Secretary may carry enactment of that Act. out the ACES program using funds made ‘‘(A) AMOUNT.—A land purchase grant shall ‘‘(B) DESCRIBED LAWS.—The provisions of available to carry out each program under be in an amount not to exceed the lesser of— law described in this section are— ‘‘(i) 50 percent of the total purchase price this title. ‘‘(i) section 2507 of the Farm Security and per acre of the eligible land; or ‘‘(2) EXCLUSION.—Funds made available to Rural Investment Act of 2002 (43 U.S.C. 2211 ‘‘(ii)(I) in the case of eligible land that was carry out the conservation reserve program note; Public Law 107–171) (as in effect on the used to produce crops or hay, $400 per acre; may not be used to carry out the ACES pro- day before the date of enactment of the Agri- and gram.’’. culture Reform, Food, and Jobs Act of 2012); ‘‘(II) in the case of eligible land that was (b) EFFECTIVE DATE.—The amendment ‘‘(ii) section 207 of the Energy and Water pasture or grazing land, $200 per acre. made by this section shall take effect on Oc- Development Appropriations Act, 2003 (Pub- ‘‘(B) DETERMINATION OF PURCHASE PRICE.— tober 1, 2012. lic Law 108–7; 117 Stat. 146); A State purchasing eligible land with a land ‘‘(iii) section 208 of the Energy and Water SEC. 2505. SMALL WATERSHED REHABILITATION purchase grant shall ensure, to the max- PROGRAM. Development Appropriations Act, 2006 (Pub- imum extent practicable, that the purchase Section 14(h)(2)(E) of the Watershed Pro- lic Law 109–103; 119 Stat. 2268, 123 Stat. 2856); price of such land reflects the value, if any, tection and Flood Prevention Act (16 U.S.C. and of other encumbrances on the eligible land to 1012(h)(2)(E)) is amended by striking ‘‘2012’’ ‘‘(iv) section 208 of the Energy and Water be purchased, including easements and min- and inserting ‘‘2017’’. Development and Related Agencies Appro- eral rights. priations Act, 2010 (Public Law 111–85; 123 SEC. 2506. TERMINAL LAKES ASSISTANCE. ‘‘(C) COST-SHARE REQUIRED.—To be eligible Stat. 2858, 123 Stat. 2967, 125 Stat. 867). Section 2507 of the Food, Security, and to receive a land purchase grant, a State ‘‘(e) FUNDING.— Rural Investment Act of 2002 (43 U.S.C. 2211 shall provide matching non-Federal funds in ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— note; Public Law 107–171) is amended to read an amount equal to 50 percent of the amount There is authorized to be appropriated to the as follows: described in subparagraph (A), including ad- Secretary to carry out subsection (c) ‘‘SEC. 2507. TERMINAL LAKES ASSISTANCE. ditional non-Federal funds. $25,000,000, to remain available until ex- ‘‘(a) DEFINITIONS.—In this section: ‘‘(D) CONDITIONS.—To receive a land pur- pended. ‘‘(1) ELIGIBLE LAND.—The term ‘eligible chase grant, a State shall agree— ‘‘(2) COMMODITY CREDIT CORPORATION.—As land’ means privately owned agricultural ‘‘(i) to ensure that any eligible land pur- soon as practicable after the date of enact- land (including land in which a State has a chased is— ment of the Agriculture Reform, Food, and property interest as a result of state water ‘‘(I) conveyed in fee simple to the State; Jobs Act of 2012, the Secretary shall transfer law)— and to the Bureau of Reclamation Water and Re- ‘‘(A) that a landowner voluntarily agrees ‘‘(II) free from mortgages or other liens at lated Resources Account $150,000,000 from the to sell to a State; and the time title is transferred; funds of the Commodity Credit Corporation ‘‘(B) which— ‘‘(ii) to maintain ownership of the eligible to carry out subsection (d), to remain avail- ‘‘(i)(I) is ineligible for enrollment as a wet- land in perpetuity; able until expended.’’. land easement established under the Agricul- ‘‘(iii) to pay (from funds other than grant Subtitle G—Funding and Administration tural Conservation Easement Program under dollars awarded) any costs associated with SEC. 2601. FUNDING. subtitle H of the Food Security Act of 1985; the purchase of eligible land under this sec- (a) IN GENERAL.—Section 1241 of the Food ‘‘(II) is flooded to— tion, including surveys and legal fees; and Security Act of 1985 (16 U.S.C. 3841) is amend- ‘‘(aa) an average depth of at least 6.5 feet; ‘‘(iv) to keep eligible land in a conserving ed by striking subsection (a) and inserting or use, as defined by the Secretary. the following: ‘‘(bb) a level below which the State deter- ‘‘(E) LOSS OF FEDERAL BENEFITS.—Eligible ‘‘(a) ANNUAL FUNDING.—For each of fiscal mines the management of the water level is land purchased with a grant under this sec- years 2013 through 2017, the Secretary shall beyond the control of the State or land- tion shall lose eligibility for any benefits use the funds, facilities, and authorities of owner; or under other Federal programs, including— the Commodity Credit Corporation to carry ‘‘(III) is inaccessible for agricultural use ‘‘(i) benefits under title XII of the Food Se- out the following programs under this title due to the flooding of adjoining property curity Act of 1985 (16 U.S.C. 3801 et seq.); (including the provision of technical assist- (such as islands of agricultural land created ‘‘(ii) benefits under the Federal Crop Insur- ance): by flooding); ance Act (7 U.S.C. 1501 et seq.); and ‘‘(1) The conservation reserve program ‘‘(ii) is located within a watershed with ‘‘(iii) covered benefits described in section under subchapter B of chapter 1 of subtitle water rights available for lease or purchase; 1001D(b) of the Food Security Act of 1985 (7 D, including, to the maximum extent prac- and U.S.C. 1308–3a). ticable— ‘‘(iii) has been used during at least 5 of the ‘‘(F) PROHIBITION.—Any Federal rights or ‘‘(A) $10,000,000 for the period of fiscal immediately preceding 30 years— benefits associated with eligible land prior years 2013 through 2017 to provide payments ‘‘(I) to produce crops or hay; or to purchase by a State may not be trans- under paragraph (3) of section 1234(b) in con- ‘‘(II) as livestock pasture or grazing. ferred to any other land or person in antici- nection with thinning activities conducted ‘‘(2) PROGRAM.—The term ‘program’ means pation of or as a result of such purchase. on land described in subparagraph (B)(iii) of the voluntary land purchase program estab- ‘‘(d) WATER ASSISTANCE.— that paragraph; and lished under this section. ‘‘(1) IN GENERAL.—The Secretary of the In- ‘‘(B) $50,000,000 for the period of fiscal years ‘‘(3) TERMINAL LAKE.—The term ‘terminal terior, acting through the Commissioner of 2013 through 2017 to carry out section 1235(f) lake’ means a lake and its associated ripar- Reclamation, may use the funds described in to facilitate the transfer of land subject to ian and watershed resources that is— subsection (e)(2) to administer and provide contracts from retired or retiring owners and ‘‘(A) considered flooded because there is no financial assistance to carry out this sub- operators to beginning farmers or ranchers natural outlet for water accumulating in the section to provide water and assistance to a and socially disadvantaged farmers or ranch- lake or the associated riparian area such terminal lake described in subsection ers.

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‘‘(2) The Agricultural Conservation Ease- ‘‘(e) REGIONAL EQUITY.— ‘‘(A) IN GENERAL.—Not later than 1 year ment Program under subtitle H using to the ‘‘(1) EQUITABLE DISTRIBUTION.—When deter- after the date of enactment of this sub- maximum extent practicable— mining funding allocations each fiscal year, section, the Secretary shall establish a sin- ‘‘(A) $223,000,000 for fiscal year 2013; the Secretary shall, after considering avail- gle, simplified application for eligible enti- ‘‘(B) $702,000,000 for fiscal year 2014; able funding and program demand in each ties to use in initially requesting assistance ‘‘(C) $500,000,000 for fiscal year 2015; State, provide a distribution of funds for under any conservation program adminis- ‘‘(D) $525,000,000 for fiscal year 2016; and conservation programs under subtitle D (ex- tered by the Secretary (referred to in this ‘‘(E) $250,000,000 for fiscal year 2017. cluding the conservation reserve program subsection as the ‘initial application’). ‘‘(3) The conservation security program under subchapter B of chapter 1), subtitle H ‘‘(B) REQUIREMENTS.—To the maximum ex- under subchapter A of chapter 2 of subtitle (excluding wetland easements under section tent practicable, the Secretary shall ensure D, using such sums as are necessary to ad- 1265C), and subtitle I to ensure equitable pro- that— minister contracts entered into before Sep- gram participation proportional to historical ‘‘(i) a conservation program applicant is tember 30, 2008. funding allocations and usage by all States. not required to provide information that is ‘‘(4) The conservation stewardship program ‘‘(2) MINIMUM PERCENTAGE.—In determining duplicative of information or resources al- under subchapter B of chapter 2 of subtitle the specific funding allocations under para- ready available to the Secretary for that ap- D. graph (1), the Secretary shall— plicant and the specific operation of the ap- ‘‘(5) The environmental quality incentives ‘‘(A) ensure that during the first quarter of plicant; and program under chapter 4 of subtitle D, using, each fiscal year each State has the oppor- ‘‘(ii) the initial application process is to the maximum extent practicable— tunity to establish that the State can use an streamlined to minimize complexity and re- ‘‘(A) $1,455,000,000 for fiscal year 2013; aggregate allocation amount of at least 0.6 dundancy. ‘‘(B) $1,645,000,000 for fiscal year 2014; and percent of the funds made available for those ‘‘(2) REVIEW OF APPLICATION PROCESS.— ‘‘(C) $1,650,000,000 for each of fiscal years conservation programs; and ‘‘(A) IN GENERAL.—Not later than 1 year 2015 through 2017.’’. ‘‘(B) for each State that can so establish, after the date of enactment of this sub- (b) GUARANTEED AVAILABILITY OF FUNDS.— provide an aggregate amount of at least 0.6 section, the Secretary shall review the appli- Section 1241 of the Food Security Act of 1985 percent of the funds made available for those cation process for each conservation pro- (16 U.S.C. 3841) is amended— conservation programs.’’. gram administered by the Secretary, includ- (1) by redesignating subsections (b) ing the forms and processes used to receive SEC. 2604. RESERVATION OF FUNDS TO PROVIDE assistance requests from eligible program through (h) as subsections (c) through (i), re- ASSISTANCE TO CERTAIN FARMERS spectively; and OR RANCHERS FOR CONSERVATION participants. (2) by inserting after subsection (a) the fol- ACCESS. ‘‘(B) REQUIREMENTS.—In carrying out the lowing: Subsection (h) of section 1241 of the Food review, the Secretary shall determine what ‘‘(b) AVAILABILITY OF FUNDS.—Amounts Security Act of 1985 (16 U.S.C. 3841) (as redes- information the participant is required to made available by subsection (a) shall be ignated by section 2601(b)(1)) is amended— submit during the application process, in- used by the Secretary to carry out the pro- (1) in paragraph (1) by striking ‘‘2012’’ and cluding— grams specified in such subsection for fiscal inserting ‘‘2017’’; and ‘‘(i) identification information for the ap- years 2013 through 2017 and shall remain (2) by adding at the end the following: plicant; ‘‘(ii) identification and location informa- available until expended. Amounts made ‘‘(4) PREFERENCE.—In providing assistance available for the programs specified in such under paragraph (1), the Secretary shall give tion for the land parcel or tract of concern; subsection during a fiscal year through preference to a veteran farmer or rancher (as ‘‘(iii) a general statement of the need or re- modifications, cancellations, terminations, defined in section 2501(e) of the Food, Agri- source concern of the applicant for the land and other related administrative actions and culture, Conservation, and Trade Act of 1990 parcel or tract; and not obligated in that fiscal year shall remain (7 U.S.C. 2279(e))) that qualifies under sub- ‘‘(iv) the minimum amount of other infor- mation the Secretary considers to be essen- available for obligation during subsequent paragraph (A) or (B) of paragraph (1).’’. fiscal years, but shall reduce the amount of tial for the applicant to provide personally. additional funds made available in the subse- SEC. 2605. ANNUAL REPORT ON PROGRAM EN- ‘‘(3) REVISION AND STREAMLINE.— ROLLMENTS AND ASSISTANCE. quent fiscal year by an amount equal to the ‘‘(A) IN GENERAL.—Not later than 1 year amount remaining unobligated.’’. Subsection (i) of section 1241 of the Food after the date of enactment of this sub- (c) EFFECTIVE DATE.—The amendments Security Act of 1985 (16 U.S.C. 3841) (as redes- section, the Secretary shall carry out a revi- made by this section shall take effect on Oc- ignated by section 2601(b)(1)) is amended— sion of the application forms and processes tober 1, 2012. (1) in paragraph (1), by striking ‘‘wetlands for each conservation program administered SEC. 2602. TECHNICAL ASSISTANCE. reserve program’’ and inserting ‘‘agricul- by the Secretary to enable use of informa- Section 1241 of the Food Security Act of tural conservation easement program’’; tion technology to incorporate appropriate 1985 (16 U.S.C. 3841) is amended by striking (2) by striking paragraphs (2) and (3) and data and information concerning the con- subsection (c) (as redesignated by section redesignating paragraphs (4), (5), and (6) as servation needs and solutions appropriate for 2601(b)(1)) and inserting the following: paragraphs (2), (3), and (4), respectively; the land area identified by the applicant. ‘‘(c) TECHNICAL ASSISTANCE.— (3) in paragraph (3) (as so redesignated)— ‘‘(B) GOAL.—The goal of the revision shall ‘‘(1) AVAILABILITY OF FUNDS.—Commodity (A) by striking ‘‘agricultural water en- be to streamline the application process to Credit Corporation funds made available for hancement program’’ and inserting ‘‘regional minimize the burden placed on applicants. a fiscal year for each of the programs speci- conservation partnership program’’; and ‘‘(4) CONSERVATION PROGRAM APPLICATION.— fied in subsection (a)— (B) by striking ‘‘section 1240I(g)’’ and in- ‘‘(A) IN GENERAL.—Once the needs of an ap- ‘‘(A) shall be available for the provision of serting ‘‘section 1271C(c)(3)’’; and plicant have been adequately assessed by the technical assistance for the programs for (4) by adding at the end the following: Secretary, or a third party provider under which funds are made available as necessary ‘‘(5) Payments made under the conserva- section 1242, based on the initial application, to implement the programs effectively; and tion stewardship program. in order to determine the 1 or more programs ‘‘(B) shall not be available for the provi- ‘‘(6) Waivers granted by the Secretary under this title that best match the needs of sion of technical assistance for conservation under section 1265B(b)(2)(C).’’. the applicant, with the approval of the appli- programs specified in subsection (a) other SEC. 2606. ADMINISTRATIVE REQUIREMENTS FOR cant, the Secretary may convert the initial than the program for which the funds were CONSERVATION PROGRAMS. application into the specific application for made available. Section 1244 of the Food Security Act of assistance for the relevant conservation pro- ‘‘(2) REPORT.—Not later than December 31, 1985 (16 U.S.C. 3844) is amended— gram. 2012, the Secretary shall submit (and update (1) in subsection (a)(2), by adding at the ‘‘(B) SECRETARIAL BURDEN.—To the max- as necessary in subsequent years) to the end the following: imum extent practicable, the Secretary Committee on Agriculture of the House of ‘‘(E) Veteran farmers or ranchers (as de- shall— Representatives and the Committee on Agri- fined in section 2501(e) of the Food, Agri- ‘‘(i) complete the specific application for culture, Nutrition, and Forestry of the Sen- culture, Conservation, and Trade Act of 1990 conservation program assistance for each ap- ate a report— (7 U.S.C. 2279(e))).’’; plicant; and ‘‘(A) detailing the amount of technical as- (2) in subsection (d), by inserting ‘‘, H, and ‘‘(ii) request only that specific further in- sistance funds requested and apportioned in I’’ before the period at the end; formation from the applicant that is not al- each program specified in subsection (a) dur- (3) in subsection (f)— ready available to the Secretary. ing the preceding fiscal year; and (A) in paragraph (1)(B), by striking ‘‘coun- ‘‘(5) IMPLEMENTATION AND NOTIFICATION.— ‘‘(B) any other data relating to this provi- try’’ and inserting ‘‘county’’; and Not later than 1 year after the date of enact- sion that would be helpful to such Commit- (B) in paragraph (3), by striking ‘‘sub- ment of this subsection, the Secretary shall tees.’’. section (c)(2)(B) or (f)(4)’’ and inserting ‘‘sub- submit to the Committee on Agriculture of SEC. 2603. REGIONAL EQUITY. section (c)(2)(A)(ii) or (f)(2)’’; the House of Representatives and the Com- Section 1241 of the Food Security Act of (4) by striking subsection (i) and inserting mittee on Agriculture, Nutrition, and For- 1985 (16 U.S.C. 3841) is amended by striking the following: estry of the Senate written notification that subsection (e) (as redesignated by section ‘‘(i) CONSERVATION APPLICATION PROCESS.— the Secretary has fulfilled the requirements 2601(b)(1)) and inserting the following: ‘‘(1) INITIAL APPLICATION.— of this subsection.’’; and

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(5) by adding at the end the following: SEC. 2702. EMERGENCY FORESTRY CONSERVA- (2) FUNDING.— ‘‘(j) IMPROVED ADMINISTRATIVE EFFICIENCY TION RESERVE PROGRAM. (A) USE OF PRIOR YEAR FUNDS.—Notwith- AND EFFECTIVENESS.—In administrating a (a) REPEAL.—Section 1231A of the Food Se- standing the repeal of subchapter C of chap- conservation program under this title, the curity Act of 1985 (16 U.S.C. 3831a) is re- ter 2 of subtitle D of title XII of the Food Se- Secretary shall, to the maximum extent pealed. curity Act of 1985 (16 U.S.C. 3838h et seq.), practicable— (b) TRANSITIONAL PROVISIONS.— any funds made available from the Com- ‘‘(1) seek to reduce administrative burdens (1) EFFECT ON EXISTING CONTRACTS.—The modity Credit Corporation to carry out the and costs to producers by streamlining con- amendment made by this section shall not farmland protection program under that sub- servation planning and program resources; affect the validity or terms of any contract chapter for fiscal years 2009 through 2012 and entered into by the Secretary of Agriculture shall be made available to carry out agree- ‘‘(2) take advantage of new technologies to under section 1231A of the Food Security Act ments and easements referred to in para- enhance efficiency and effectiveness. of 1985 (16 U.S.C. 3831a) before October 1, 2012, graph (1) that were entered into prior to Oc- ‘‘(k) RELATION TO OTHER PAYMENTS.—Any or any payments required to be made in con- tober 1, 2012 (including the provision of tech- payment received by an owner or operator nection with the contract. nical assistance). under this title, including an easement pay- (2) FUNDING.—The Secretary may use funds (B) OTHER.—On exhaustion of funds made ment or rental payment, shall be in addition made available to carry out the conservation available under subparagraph (A), the Sec- to, and not affect, the total amount of pay- reserve program under subchapter B of chap- retary may use funds made available to ments that the owner or operator is other- ter 1 of subtitle D of title XII of the Food Se- carry out the agricultural conservation ease- wise eligible to receive under any of the fol- curity Act of 1985 (16 U.S.C. 3831 et seq.) to ment program under subtitle H of title XII of lowing: continue to carry out contracts referred to the Food Security Act of 1985, as added by ‘‘(1) This Act. in paragraph (1) using the provisions of law section 2301 of this Act, to continue to carry ‘‘(2) The Agricultural Act of 1949 (7 U.S.C. and regulation applicable to such contracts out agreements and easements referred to in 1421 et seq.). as in existence on September 30, 2012. paragraph (1) using the provisions of law and ‘‘(3) The Agriculture Reform, Food, and (c) EFFECTIVE DATE.—The amendment regulation applicable to such agreements Jobs Act of 2012. made by this section shall take effect on Oc- and easement as in existence on September ‘‘(4) Any law that succeeds a law specified tober 1, 2012. 30, 2012. in paragraph (1), (2), or (3). SEC. 2703. WETLANDS RESERVE PROGRAM. (c) EFFECTIVE DATE.—The amendment ‘‘(l) FUNDING FOR INDIAN TRIBES.—In car- (a) REPEAL.—Subchapter C of chapter 1 of made by this section shall take effect on Oc- rying out the conservation stewardship pro- tober 1, 2012. gram under subchapter B of chapter 2 of sub- subtitle D of title XII of the Food Security title D and the environmental quality incen- Act of 1985 (16 U.S.C. 3837 et seq.) is repealed. SEC. 2705. GRASSLAND RESERVE PROGRAM. tives program under chapter 4 of subtitle D, (b) TRANSITIONAL PROVISIONS.— (a) REPEAL.—Subchapter D of chapter 2 of the Secretary may enter into alternative (1) EFFECT ON EXISTING CONTRACTS AND subtitle D of title XII of the Food Security funding arrangements with Indian tribes if EASEMENTS.—The amendment made by this Act of 1985 (16 U.S.C. 3838n et seq.) is re- the Secretary determines that the goals and section shall not affect the validity or terms pealed. objectives of the programs will be met by of any contract or easement entered into by (b) TRANSITIONAL PROVISIONS.— such arrangements, and that statutory limi- the Secretary of Agriculture under sub- (1) EFFECT ON EXISTING CONTRACTS, AGREE- tations regarding contracts with individual chapter C of chapter 1 of subtitle D of title MENTS, AND EASEMENTS.—The amendment producers will not be exceeded by any Tribal XII of the Food Security Act of 1985 (16 made by this section shall not affect the va- member.’’. U.S.C. 3837 et seq.) before October 1, 2012, or lidity or terms of any contract, agreement, SEC. 2607. RULEMAKING AUTHORITY. any payments required to be made in connec- or easement entered into by the Secretary of Subtitle E of title XII of the Food Security tion with the contract or easement. Agriculture under subchapter D of chapter 2 Act of 1985 (16 U.S.C. 3841 et seq.) is amended (2) FUNDING.— of subtitle D of title XII of the Food Security by adding at the end the following: (A) USE OF PRIOR YEAR FUNDS.—Notwith- Act of 1985 (16 U.S.C. 3838n et seq.) before Oc- ‘‘SEC. 1246. REGULATIONS. standing the repeal of subchapter C of chap- tober 1, 2012, or any payments required to be ‘‘(a) IN GENERAL.—The Secretary shall pro- ter 1 of subtitle D of title XII of the Food Se- made in connection with the contract, agree- mulgate such regulations as are necessary to curity Act of 1985 (16 U.S.C. 3837 et seq.), any ment, or easement. implement programs under this title, includ- funds made available from the Commodity (2) FUNDING.— ing such regulations as the Secretary deter- Credit Corporation to carry out the wetlands (A) USE OF PRIOR YEAR FUNDS.—Notwith- mines to be necessary to ensure a fair and reserve program under that subchapter for standing the repeal of subchapter D of chap- reasonable application of the limitations es- fiscal years 2009 through 2012 shall be made ter 2 of subtitle D of title XII of the Food Se- tablished under section 1244(f). available to carry out contracts or ease- curity Act of 1985 (16 U.S.C. 3838n et seq.), ‘‘(b) RULEMAKING PROCEDURE.—The pro- ments referred to in paragraph (1) that were any funds made available from the Com- mulgation of regulations and administration entered into prior to October 1, 2012 (includ- modity Credit Corporation to carry out the of programs under this title— ing the provision of technical assistance), grassland reserve program under that sub- ‘‘(1) shall be carried out without regard provided that no such contract or easement chapter for fiscal years 2009 through 2012 to— is modified so as to increase the amount of shall be made available to carry out con- ‘‘(A) the Statement of Policy of the Sec- the payment received. tracts, agreements, or easements referred to retary effective July 24, 1971 (36 Fed. Reg. (B) OTHER.—The Secretary may use funds in paragraph (1) that were entered into prior 13804), relating to notices of proposed rule- made available to carry out the agricultural to October 1, 2012 (including the provision of making and public participation in rule- conservation easement program under sub- technical assistance), provided that no such making; and title H of title XII of the Food Security Act contract, agreement, or easement is modi- ‘‘(B) chapter 35 of title 44, United States of 1985, as added by section 2301 of this Act, fied so as to increase the amount of the pay- Code (commonly known as the Paperwork to continue to carry out contracts and ease- ment received. Reduction Act); and ments referred to in paragraph (1) using the (B) OTHER.—The Secretary may use funds ‘‘(2) shall be made as an interim rule effec- provisions of law and regulation applicable made available to carry out the agricultural tive on publication with an opportunity for to such contracts and easements as in exist- conservation easement program under sub- notice and comment. ence on September 30, 2012. title H of title XII of the Food Security Act ‘‘(c) CONGRESSIONAL REVIEW OF AGENCY (c) EFFECTIVE DATE.—The amendment of 1985, as added by section 2301 of this Act, RULEMAKING.—In promulgating regulations made by this section shall take effect on Oc- to continue to carry out contracts, agree- under this section, the Secretary shall use tober 1, 2012. ments, and easements referred to in para- the authority provided under section 808 of SEC. 2704. FARMLAND PROTECTION PROGRAM graph (1) using the provisions of law and reg- title 5, United States Code.’’. AND FARM VIABILITY PROGRAM. ulation applicable to such contracts, agree- SEC. 2608. STANDARDS FOR STATE TECHNICAL (a) REPEAL.—Subchapter C of chapter 2 of ments, and easements as in existence on Sep- COMMITTEES. subtitle D of title XII of the Food Security tember 30, 2012. Section 1261(b) of the Food Security Act of Act of 1985 (16 U.S.C. 3838h et seq.) is re- (c) EFFECTIVE DATE.—The amendment 1985 (16 U.S.C. 3861(b)) is amended by striking pealed. made by this section shall take effect on Oc- ‘‘Not later than 180 days after the date of en- (b) TRANSITIONAL PROVISIONS.— tober 1, 2012. actment of the Food, Conservation, and En- (1) EFFECT ON EXISTING AGREEMENTS AND SEC. 2706. AGRICULTURAL WATER ENHANCE- ergy Act of 2008, the Secretary shall de- EASEMENTS.—The amendment made by this MENT PROGRAM. velop’’ and inserting ‘‘The Secretary shall section shall not affect the validity or terms (a) REPEAL.—Section 1240I of the Food Se- review and update as necessary’’. of any agreement or easement entered into curity Act of 1985 (16 U.S.C. 3839aa–9) is re- Subtitle H—Repeal of Superseded Program by the Secretary of Agriculture under sub- pealed. Authorities and Transitional Provisions chapter C of chapter 2 of subtitle D of title (b) TRANSITIONAL PROVISIONS.— SEC. 2701. COMPREHENSIVE CONSERVATION EN- XII of the Food Security Act of 1985 (16 (1) EFFECT ON EXISTING CONTRACTS AND HANCEMENT PROGRAM. U.S.C. 3838h et seq.) before October 1, 2012, or AGREEMENTS.—The amendment made by this Section 1230 of the Food Security Act of any payments required to be made in connec- section shall not affect the validity or terms 1985 (16 U.S.C. 3830) is repealed. tion with the agreement or easement. of any contract or agreement entered into by

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the Secretary of Agriculture under section (1) EFFECT ON EXISTING CONTRACTS, AGREE- matter preceding paragraph (1) by striking 1240I of the Food Security Act of 1985 (16 MENTS, AND EASEMENTS.—The amendment ‘‘E’’ and inserting ‘‘I’’. U.S.C. 3839aa–9) before October 1, 2012, or any made by this section shall not affect the va- (b) Section 1211(a) of the Food Security Act payments required to be made in connection lidity or terms of any contract, agreement, of 1985 (16 U.S.C. 3811(a)) is amended by strik- with the contract or agreement. or easement entered into by the Secretary of ing ‘‘predominate’’ each place it appears and (2) FUNDING.— Agriculture under section 1240Q of the Food inserting ‘‘predominant’’. (A) USE OF PRIOR YEAR FUNDS.—Notwith- Security Act of 1985 (16 U.S.C. 3839bb–4) be- (c) Section 1242(i) of the Food Security Act standing the repeal of section 1240I of the fore October 1, 2012, or any payments re- of 1985(16 U.S.C. 3842(i)) is amended in the Food Security Act of 1985 (16 U.S.C. 3839aa– quired to be made in connection with the subsection heading by striking ‘‘SPECIALITY’’ 9), any funds made available from the Com- contract, agreement, or easement. and inserting ‘‘SPECIALTY’’. modity Credit Corporation to carry out the (2) FUNDING.— TITLE III—TRADE agricultural water enhancement program (A) USE OF PRIOR YEAR FUNDS.—Notwith- Subtitle A—Food for Peace Act under that section for fiscal years 2009 standing the repeal of section 1240Q of the SEC. 3001. SET-ASIDE FOR SUPPORT FOR ORGANI- through 2012 shall be made available to carry Food Security Act of 1985 (16 U.S.C. 3839bb– ZATIONS THROUGH WHICH NON- out contracts and agreements referred to in 4), any funds made available from the Com- EMERGENCY ASSISTANCE IS PRO- paragraph (1) that were entered into prior to modity Credit Corporation to carry out the VIDED. October 1, 2012 (including the provision of Chesapeake Bay watershed program under Effective October 1, 2012, section 202(e)(1) of technical assistance). that section for fiscal years 2009 through 2012 the Food for Peace Act (7 U.S.C. 1722(e)(1)) is (B) OTHER.—On exhaustion of funds made shall be made available to carry out con- amended— available under subparagraph (A), the Sec- tracts, agreements, and easements referred (1) in the matter preceding subparagraph retary may use funds made available to to in paragraph (1) that were entered into (A), by striking ‘‘13 percent’’ and inserting carry out the regional conservation partner- prior to October 1, 2012 (including the provi- ‘‘15 percent’’; and ships program under subtitle I of title XII of sion of technical assistance). (2) in subparagraph (A), by striking ‘‘new’’ the Food Security Act of 1985, as added by (B) OTHER.—The Secretary may use funds and inserting ‘‘and enhancing’’. section 2401 of this Act, to continue to carry made available to carry out the regional con- SEC. 3002. FOOD AID QUALITY. out contracts and agreements referred to in servation partnerships program under sub- Section 202(h) of the Food for Peace Act (7 paragraph (1) using the provisions of law and title I of title XII of the Food Security Act U.S.C. 1722(h)) is amended— regulation applicable to such contracts and of 1985, as added by section 2401 of this Act, (1) by striking paragraph (1) and inserting agreements as in existence on September 30, to continue to carry out contracts, agree- the following: 2012. ments, and easements referred to in para- ‘‘(1) IN GENERAL.—The Administrator shall (c) EFFECTIVE DATE.—The amendment graph (1) using the provisions of law and reg- use funds made available for fiscal year 2013 made by this section shall take effect on Oc- ulation applicable to such contracts, agree- and subsequent fiscal years to carry out this tober 1, 2012. ments, and easements as in existence on Sep- title— SEC. 2707. WILDLIFE HABITAT INCENTIVE PRO- tember 30, 2012. ‘‘(A) to assess the types and quality of ag- GRAM. (c) EFFECTIVE DATE.—The amendment ricultural commodities and products donated (a) REPEAL.—Section 1240N of the Food Se- made by this section shall take effect on Oc- for food aid; curity Act of 1985 (16 U.S.C. 3839bb–1) is re- tober 1, 2012. ‘‘(B) to adjust products and formulations, pealed. SEC. 2710. COOPERATIVE CONSERVATION PART- including potential introduction of new (b) TRANSITIONAL PROVISIONS.— NERSHIP INITIATIVE. fortificants and products, as necessary to (1) EFFECT ON EXISTING CONTRACTS.—The (a) REPEAL.—Section 1243 of the Food Se- cost-effectively meet nutrient needs of tar- amendment made by this section shall not curity Act of 1985 (16 U.S.C. 3843) is repealed. get populations; affect the validity or terms of any contract (b) TRANSITIONAL PROVISIONS.— ‘‘(C) to test prototypes; entered into by the Secretary of Agriculture (1) EFFECT ON EXISTING CONTRACTS AND ‘‘(D) to adopt new specifications or im- under section 1240N of the Food Security Act AGREEMENTS.—The amendment made by this prove existing specifications for micro- of 1985 (16 U.S.C. 3839bb–1) before October 1, section shall not affect the validity or terms nutrient fortified food aid products, based on 2012, or any payments required to be made in of any contract or agreement entered into by the latest developments in food and nutri- connection with the contract. the Secretary of Agriculture under section tion science, and in coordination with other (2) FUNDING.— 1243 of the Food Security Act of 1985 (16 international partners; (A) USE OF PRIOR YEAR FUNDS.—Notwith- U.S.C. 3843) before October 1, 2012, or any ‘‘(E) to develop new program guidance to standing the repeal of section 1240N of the payments required to be made in connection facilitate improved matching of products to Food Security Act of 1985 (16 U.S.C. 3839bb– with the contract or agreement. purposes having nutritional intent, in co- 1), any funds made available from the Com- (2) FUNDING.— ordination with other international part- modity Credit Corporation to carry out the (A) USE OF PRIOR YEAR FUNDS.—Notwith- ners; wildlife habitat incentive program under standing the repeal of section 1243 of the ‘‘(F) to develop improved guidance for im- that section for fiscal years 2009 through 2012 Food Security Act of 1985 (16 U.S.C. 3843), plementing partners on how to address nutri- shall be made available to carry out con- any funds made available from the Com- tional deficiencies that emerge among re- tracts referred to in paragraph (1) which modity Credit Corporation to carry out the cipients for whom food assistance is the sole were entered into prior to October 1, 2012 (in- cooperative conservation partnership initia- source of diet in emergency programs that cluding the provision of technical assist- tive under that section for fiscal years 2009 extend beyond 1 year, in coordination with ance). through 2012 shall be made available to carry other international partners; and (B) OTHER.—On exhaustion of funds made out contracts and agreements referred to in ‘‘(G) to evaluate, in appropriate settings available under subparagraph (A), the Sec- paragraph (1) that were entered into prior to and as necessary, the performance and cost- retary may use funds made available to October 1, 2012 (including the provision of effectiveness of new or modified specialized carry out the environmental quality incen- technical assistance). food products and program approaches de- tives program under chapter 4 of subtitle D (B) OTHER.—On exhaustion of funds made signed to meet the nutritional needs of the of title XII of the Food Security Act of 1985 available under subparagraph (A), the Sec- most vulnerable groups, such as pregnant (16 U.S.C. 3839aa et seq.) to continue to carry retary may use funds made available to and lactating mothers, and children under out contracts referred to in paragraph (1) carry out the regional conservation partner- the age of 5.’’; and using the provisions of law and regulation ships program under subtitle I of title XII of (2) in paragraph (3), by striking ‘‘2011’’ and applicable to such contracts as in existence the Food Security Act of 1985, as added by inserting ‘‘2017’’. on September 30, 2012. section 2401 of this Act, to continue to carry SEC. 3003. MINIMUM LEVELS OF ASSISTANCE. (c) EFFECTIVE DATE.—The amendment out contracts and agreements referred to in Section 204(a) of the Food for Peace Act (7 made by this section shall take effect on Oc- paragraph (1) using the provisions of law and U.S.C. 1724(a)) is amended— tober 1, 2012. regulation applicable to such contracts and (1) in paragraph (1), by striking ‘‘2012’’ and SEC. 2708. GREAT LAKES BASIN PROGRAM. agreements as in existence on September 30, inserting ‘‘2017’’; and (a) REPEAL.—Section 1240P of the Food Se- 2012. (2) in paragraph (2), by striking ‘‘2012’’ and curity Act of 1985 (16 U.S.C. 3839bb–3) is re- (c) EFFECTIVE DATE.—The amendment inserting ‘‘2017’’. made by this section shall take effect on Oc- pealed. SEC. 3004. REAUTHORIZATION OF FOOD AID CON- (b) EFFECTIVE DATE.—The amendment tober 1, 2012. SULTATIVE GROUP. made by this section shall take effect on Oc- SEC. 2711. ENVIRONMENTAL EASEMENT PRO- Section 205(f) of the Food for Peace Act (7 tober 1, 2012. GRAM. U.S.C. 1725(f)) is amended by striking ‘‘2012’’ SEC. 2709. CHESAPEAKE BAY WATERSHED PRO- Chapter 3 of subtitle D of title XII of the and inserting ‘‘2017’’. Food Security Act of 1985 (16 U.S.C. 3839 et GRAM. SEC. 3005. OVERSIGHT, MONITORING, AND EVAL- (a) REPEAL.—Section 1240Q of the Food Se- seq.) is repealed. UATION OF FOOD FOR PEACE ACT curity Act of 1985 (16 U.S.C. 3839bb–4) is re- SEC. 2712. TECHNICAL AMENDMENTS. PROGRAMS. pealed. (a) Section 1201(a) of the Food Security Act Section 207(f) of the Food for Peace Act (7 (b) TRANSITIONAL PROVISIONS.— of 1985 (16 U.S.C. 3801(a)) is amended in the U.S.C. 1726a(f)) is amended—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00098 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4029 (1) by striking paragraph (4) and redesig- (A) by striking ‘‘2012’’ and inserting ‘‘2017’’; amended by striking ‘‘2012’’ and inserting nating paragraphs (5) and (6) as paragraphs and ‘‘2017’’. (4) and (5), respectively; and (B) by striking ‘‘for each such fiscal year SEC. 3103. FOREIGN MARKET DEVELOPMENT CO- (2) in subparagraph (A) of paragraph (5) (as not more than $10,000,000 of such funds’’ and OPERATOR PROGRAM. so redesignated)— inserting ‘‘for each of fiscal years 2001 Section 703(a) of the Agricultural Trade (A) by striking ‘‘2012’’ and inserting ‘‘2017’’; through 2012 not more than $10,000,000 of Act of 1978 (7 U.S.C. 5723(a)) is amended by and such funds and for each of fiscal years 2013 striking ‘‘2012’’ and inserting ‘‘2017’’. (B) by striking ‘‘during fiscal year 2009’’ through 2017 not more than $15,000,000 of Subtitle C—Other Agricultural Trade Laws and inserting ‘‘during the period of fiscal such funds’’; and SEC. 3201. FOOD FOR PROGRESS ACT OF 1985. years 2013 through 2017’’. (2) by adding at the end the following: (a) EXTENSION.—The Food for Progress Act SEC. 3006. ASSISTANCE FOR STOCKPILING AND ‘‘(g) FUNDING FOR TESTING OF FOOD AID SHIPMENTS.—Funds made available for agri- of 1985 (7 U.S.C. 1736o) is amended— RAPID TRANSPORTATION, DELIV- (1) in subsection (f)(3), by striking ‘‘2012’’ ERY, AND DISTRIBUTION OF SHELF- cultural products acquired under this Act STABLE PREPACKAGED FOODS. and section 3107 of the Farm Security and and inserting ‘‘2017’’; Section 208(f) of the Food for Peace Act (7 Rural Investment Act of 2002 (7 U.S.C. 1736 o– (2) in subsection (g), by striking ‘‘2012’’ and U.S.C. 1726b(f)) is amended by striking ‘‘2012’’ 1) may be used to pay for the testing of those inserting ‘‘2017’’; and inserting ‘‘2017’’. agricultural products.’’. (3) in subsection (k), by striking ‘‘2012’’ and SEC. 3007. LIMITATION ON TOTAL VOLUME OF SEC. 3010. DEADLINE FOR AGREEMENTS TO FI- inserting ‘‘2017’’; and COMMODITIES MONETIZED. NANCE SALES OR TO PROVIDE (4) in subsection (l)(1), by striking ‘‘2012’’ Section 403 of the Food for Peace Act (7 OTHER ASSISTANCE. and inserting ‘‘2017’’. U.S.C. 1733) is amended by adding at the end Section 408 of the Food for Peace Act (7 (b) REPEAL OF COMPLETED PROJECT.—Sub- the following: U.S.C. 1736b) is amended by striking ‘‘2012’’ section (f) of the Food for Progress Act of ‘‘(m) LIMITATION ON MONETIZATION OF COM- and inserting ‘‘2017’’. 1985 (7 U.S.C. 1736o) is amended by striking MODITIES.— SEC. 3011. MINIMUM LEVEL OF NONEMERGENCY paragraph (6). ‘‘(1) LIMITATION.— FOOD ASSISTANCE. (c) FLEXIBILITY.—The Food for Progress ‘‘(A) IN GENERAL.—Unless the Adminis- Section 412 of the Food for Peace Act (7 Act of 1985 (7 U.S.C. 1736o) is amended in sub- trator grants a waiver under paragraph (2), U.S.C. 1736f) is amended by striking sub- section (l) by adding at the end the fol- no commodity may be made available under section (e) and inserting the following: lowing: ‘‘(e) MINIMUM LEVEL OF NONEMERGENCY this Act unless the rate of return for the ‘‘(5) FLEXIBILITY.—Notwithstanding any FOOD ASSISTANCE.— commodity (as determined under subpara- other provision of law and as necessary to ‘‘(1) IN GENERAL.—Subject to paragraph (2), graph (B)) is at least 70 percent. achieve the purposes of this Act, funds avail- of the amounts made available to carry out ‘‘(B) RATE OF RETURN.—For purposes of able under this Act may be used to pay the emergency and nonemergency food assist- costs of up to 20 percent of activities con- subparagraph (A), the rate of return shall be ance programs under title II, not less than 15 equal to the proportion that— ducted in recipient countries by nonprofit percent nor more than 30 percent for each of voluntary organizations, cooperatives, or ‘‘(i) the proceeds the implementing part- fiscal years 2013 through 2017 shall be ex- ners generate through monetization; bears to intergovernmental agencies or organiza- pended for nonemergency food assistance tions.’’. ‘‘(ii) the cost to the Federal Government to programs under title II. procure and ship the commodities to a re- (d) LIMITATION ON TOTAL VOLUME OF COM- ‘‘(2) MINIMUM LEVEL.—The amount made MODITIES MONETIZED.—The Food for Progress cipient country for monetization. available to carry out nonemergency food as- ‘‘(2) WAIVER AUTHORITY.—The Adminis- Act of 1985 (7 U.S.C. 1736o) is amended by sistance programs under title II shall not be adding at the end the following: trator may waive the application of the limi- less than $275,000,000 for any fiscal year.’’. tation in paragraph (1) with regard to a com- ‘‘(p) LIMITATION ON MONETIZATION OF COM- SEC. 3012. COORDINATION OF FOREIGN ASSIST- MODITIES.— modity for a recipient country if the Admin- ANCE PROGRAMS REPORT. istrator determines that it is necessary to ‘‘(1) LIMITATION.— Section 413 of the Food for Peace Act (7 ‘‘(A) IN GENERAL.—Unless the Secretary achieve the purposes of this Act in the re- U.S.C. 1736(g)) is amended— cipient country. grants a waiver under paragraph (2), no eligi- (1) by striking ‘‘(a) IN GENERAL.—To the ble commodity may be made available under ‘‘(3) REPORT.—Not later than 90 days after maximum’’ and inserting ‘‘To the max- this section unless the rate of return for the a waiver is granted under paragraph (2), the imum’’; and Administrator shall prepare, publish in the eligible commodity (as determined under (2) by striking subsection (b). subparagraph (B)) is at least 70 percent. Federal Register, and submit to the Commit- SEC. 3013. MICRONUTRIENT FORTIFICATION PRO- tees on Foreign Affairs, Agriculture, and Ap- ‘‘(B) RATE OF RETURN.—For purposes of GRAMS. subparagraph (A), the rate of return shall be propriations of the House of Representatives, (a) ELIMINATION OF OBSOLETE REFERENCE and the Committees on Appropriations, For- equal to the proportion that— TO STUDY.—Section 415(a)(2)(B) of the Food ‘‘(i) the proceeds the implementing part- eign Relations, and Agriculture, Nutrition, for Peace Act (7 U.S.C. 1736g–2(a)(2)(B)) is ners generate through monetization; bears to and Forestry of the Senate a report that— amended by striking ‘‘, using recommenda- ‘‘(ii) the cost to the Federal Government to ‘‘(A) contains the reasons for granting the tions’’ and all that follows through ‘‘quality procure and ship the eligible commodities to waiver and the actual rate of return for the enhancements’’. a recipient country for monetization. commodity; and (b) EXTENSION.—Section 415(c) of the Food ‘‘(B) includes for the commodity the costs for Peace Act (7 U.S.C. 1736g–2(c)) is amended ‘‘(2) WAIVER AUTHORITY.—The Secretary of bagging or further processing, ocean by striking ‘‘2012’’ and inserting ‘‘2017’’. may waive the application of the limitation in paragraph (1) with regard to an eligible transportation, inland transportation in the SEC. 3014. JOHN OGONOWSKI AND DOUG BEREU- recipient country, storage costs, and any TER FARMER-TO-FARMER PROGRAM. commodity for a recipient country if the other information that the Administrator Section 501 of the Food for Peace Act (7 Secretary determines that it is necessary to determines to be necessary.’’. U.S.C. 1737) is amended— achieve the purposes of this Act in the re- cipient country. SEC. 3008. FLEXIBILITY. (1) in subsection (d)— ‘‘(3) REPORT.—Not later than 90 days after Section 406 of the Food for Peace Act (7 (A) by striking ‘‘0.5 percent’’ and inserting a waiver is granted under paragraph (2), the U.S.C. 1736) is amended— ‘‘0.6 percent’’; and Secretary shall prepare, publish in the Fed- (1) by redesignating subsections (c) and (d) (B) by striking ‘‘2012’’ and inserting ‘‘2017’’; eral Register, and submit to the Committees as subsections (d) and (e), respectively; and and on Foreign Affairs, Agriculture, and Appro- (2) by inserting after subsection (b) the fol- (2) in subsection (e)(1), by striking ‘‘2012’’ priations of the House of Representatives, lowing: and inserting ‘‘2017’’. and the Committees on Appropriations, For- ‘‘(c) FLEXIBILITY.—Notwithstanding any Subtitle B—Agricultural Trade Act of 1978 other provision of law and as necessary to eign Relations, and Agriculture, Nutrition, SEC. 3101. EXPORT CREDIT GUARANTEE PRO- and Forestry of the Senate a report that— achieve the purposes of this Act, funds avail- GRAMS. able under this Act may be used to pay the Section 211 of the Agricultural Trade Act ‘‘(A) contains the reasons for granting the costs of up to 20 percent of activities con- of 1978 (7 U.S.C. 5641) is amended by striking waiver and the actual rate of return for the ducted in recipient countries by nonprofit subsection (b) and inserting the following: eligible commodity; and voluntary organizations, cooperatives, or ‘‘(b) EXPORT CREDIT GUARANTEE PRO- ‘‘(B) includes for the commodity the costs intergovernmental agencies or organiza- GRAMS.—The Commodity Credit Corporation of bagging or further processing, ocean tions.’’. shall make available for each of fiscal years transportation, inland transportation in the recipient country, storage costs, and any SEC. 3009. PROCUREMENT, TRANSPORTATION, 2013 through 2017 credit guarantees under TESTING, AND STORAGE OF AGRI- section 202(a) in an amount equal to not other information that the Secretary deter- CULTURAL COMMODITIES FOR more than $4,500,000,000 in credit guaran- mines to be necessary.’’. PREPOSITIONING IN THE UNITED tees.’’. SEC. 3202. BILL EMERSON HUMANITARIAN STATES AND FOREIGN COUNTRIES. SEC. 3102. FUNDING FOR MARKET ACCESS PRO- TRUST. Section 407 of the Food for Peace Act (7 GRAM. Section 302 of the Bill Emerson Humani- U.S.C. 1736a) is amended— Section 211(c)(1)(A) of the Agricultural tarian Trust Act (7 U.S.C. 1736f–1) is amend- (1) in subparagraph (c)(4)(A)— Trade Act of 1978 (7 U.S.C. 5641(c)(1)(A)) is ed—

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(1) in subsection (b)(2)(B)(i), by striking ‘‘(A) IN GENERAL.—To be eligible’’; (b) PURPOSE.—The purpose of this section ‘‘2012’’ both places it appears and inserting (II) by redesignating clause (ii) as subpara- is to establish a pilot program to effectively ‘‘2017’’; and graph (B) and indenting appropriately; and integrate all United States-funded emer- (2) in subsection (h), by striking ‘‘2012’’ (III) in subparagraph (B) (as so redesig- gency and long-term development activities both places it appears and inserting ‘‘2017’’. nated), by striking ‘‘clause (i)’’ and inserting that aim to improve food security in the ‘‘subparagraph (A)’’; and SEC. 3203. PROMOTION OF AGRICULTURAL EX- Horn of Africa, building resilience so as— PORTS TO EMERGING MARKETS. (B) by striking paragraph (4); and (1) to reduce the impacts of future crises; (a) DIRECT CREDITS OR EXPORT CREDIT (6) by adding at the end the following: (2) to enhance local capacity for emer- GUARANTEES.—Section 1542(a) of the Food, ‘‘(e) FUNDING.— gency response; Agriculture, Conservation, and Trade Act of ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— (3) to enhance sustainability of long-term 1990 (Public Law 101–624; 7 U.S.C. 5622 note) is There is authorized to be appropriated to development programs targeting poor and amended by striking ‘‘2012’’ and inserting carry out this section $40,000,000 for each of vulnerable households; and ‘‘2017’’. fiscal years 2013 through 2017. (4) to reduce the need for repeated costly (b) DEVELOPMENT OF AGRICULTURAL SYS- ‘‘(2) PREFERENCE.—In carrying out this sec- emergency operations. TEMS.—Section 1542(d)(1)(A)(i) of the Food, tion, the Secretary may give a preference to Agriculture, Conservation, and Trade Act of eligible organizations that have, or are (c) STUDY.— 1990 (Public Law 101–624; 7 U.S.C. 5622 note) is working toward, projects under the McGov- (1) IN GENERAL.—Not later than 30 days amended by striking ‘‘2012’’ and inserting ern-Dole International Food for Education after the date of enactment of this Act, the ‘‘2017’’. and Child Nutrition Program established Administrator shall initiate a study of prior SEC. 3204. MCGOVERN-DOLE INTERNATIONAL under section 3107 of the Farm Security and programs to support resilience in the Horn of FOOD FOR EDUCATION AND CHILD Rural Investment Act of 2002 (7 U.S.C. 1736o- Africa conducted by— NUTRITION PROGRAM. 1). (A) other donor countries; (a) REAUTHORIZATION.—Section 3107(l)(2) of ‘‘(3) REPORTING.—Each year, the Secretary (B) private voluntary organizations; the Farm Security and Rural Investment shall submit to the appropriate committees (C) the World Food Program of the United Act of 2002 (7 U.S.C. 1736o–1(l)(2)) is amended of Congress a report that describes the use of Nations; and by striking ‘‘2012’’ and inserting ‘‘2017’’. funds under this section, including— (D) multilateral institutions, including the (b) TECHNICAL CORRECTION.—Section 3107(d) ‘‘(A) the impact of procurements and World Bank. of the Farm Security and Rural Investment projects on— (2) REQUIREMENTS.—The study shall— Act of 2002 (7 U.S.C. 1736o–1(d)) is amended by ‘‘(i) local and regional agricultural pro- (A) include all programs implemented striking ‘‘to’’ in the matter preceding para- ducers; and through the Agency for International Devel- graph (1). ‘‘(ii) markets and consumers, including opment, the Department of Agriculture, the SEC. 3205. TECHNICAL ASSISTANCE FOR SPE- low-income consumers; and Department of Treasury, the Millennium CIALTY CROPS. ‘‘(B) implementation time frames and Challenge Corporation, the Peace Corps, and (a) PURPOSE.—Section 3205(b) of the Farm costs.’’. other relevant Federal agencies; Security and Rural Investment Act of 2002 (7 SEC. 3208. DONALD PAYNE HORN OF AFRICA (B) evaluate how well the programs de- U.S.C. 5680(b)) is amended by striking ‘‘re- FOOD RESILIENCE PROGRAM. scribed in subparagraph (A) work together to lated barriers to trade’’ and inserting ‘‘tech- (a) DEFINITIONS.—In this section: complement each other and leverage impacts nical barriers to trade’’. (1) ADMINISTRATOR.—The term ‘‘Adminis- across programs; (b) FUNDING.—Section 3205(e)(2) of the trator’’ means the Administrator of the (C) include recommendations for how full Farm Security and Rural Investment Act of Agency for International Development. integration of efforts can be achieved; and 2002 (7 U.S.C. 5680(e)(2)) is amended— (2) APPROPRIATE COMMITTEES OF CON- (D) evaluate the degree to which country- (1) by inserting ‘‘and’’ at the end of sub- GRESS.—The term ‘‘appropriate committees led development plans support programs that paragraph (C); and of Congress’’ means— increase resilience, including review of the (2) by striking subparagraphs (D) and (E) (A) the Committee on Agriculture, Nutri- investments by each country in nutrition and inserting the following new subpara- tion, and Forestry of the Senate; and safety nets. graph: (B) the Committee on Agriculture of the (3) REPORT.—Not later than 180 days after ‘‘(D) $9,000,000 for each of fiscal years 2011 House of Representatives; the date of enactment of this Act, the Ad- through 2017.’’. (C) the Committee on Foreign Relations of ministrator shall submit to the appropriate SEC. 3206. GLOBAL CROP DIVERSITY TRUST. the Senate; and committees of Congress a report containing Section 3202(c) of the Food, Conservation, (D) the Committee on Foreign Affairs of the results of the study. and Energy Act of 2008 (Public Law 110–246; the House of Representatives. (d) FIELD-BASED PROJECT GRANTS OR COOP- 22 U.S.C. 2220a note) is amended by striking (3) ELIGIBLE ORGANIZATION.—The term ‘‘eli- ‘‘2008 through 2012’’ and inserting ‘‘2013 gible organization’’ means an organization ERATIVE AGREEMENTS.— through 2017’’. that is— (1) IN GENERAL.—The Administrator shall— SEC. 3207. LOCAL AND REGIONAL FOOD AID PRO- (A) a private voluntary organization or co- (A) provide grants to, or enter into cooper- CUREMENT PROJECTS. operative that is, to the extent practicable, ative agreements with, eligible organizations Section 3206 of the Food, Conservation, and registered with the Administrator; or to carry out field-based projects that build Energy Act of 2008 (7 U.S.C. 1726c) is amend- (B) an intergovernmental organization, resilience in the Horn of Africa in accord- ed— such as the World Food Program. ance with this section; and (1) in subsection (b)— (4) HORN OF AFRICA.—The term ‘‘Horn of (B) develop a project approval process to (A) by striking ‘‘(b) STUDY; FIELD-BASED Africa’’ means the countries of— ensure full integration of efforts. PROJECTS.—’’ and all that follows through (A) Ethiopia; (2) REQUIREMENTS OF ELIGIBLE ORGANIZA- ‘‘(2) FIELD-BASED PROJECTS.—’’ and inserting (B) Somalia; TIONS.— the following: (C) Kenya; (A) APPLICATION.—To be eligible to receive ‘‘(b) FIELD-BASED PROJECTS.—’’; (D) Djibouti; a grant from, or enter into a cooperative (B) by redesignating subparagraphs (A) and (E) Eritrea; agreement with, the Administrator under (B) as paragraphs (1) and (2), respectively, (F) South Sudan; this subsection, an eligible organization and indenting appropriately; (G) Uganda; and shall submit to the Administrator an appli- (C) in paragraph (1) (as so redesignated), by (H) such other countries as the Adminis- cation by such date, in such manner, and striking ‘‘subparagraph (B)’’ and inserting trator determines to be appropriate after containing such information as the Adminis- ‘‘paragraph (2)’’; and providing notification to the appropriate trator may require. (D) in paragraph (2) (as so redesignated), by committees of Congress. (B) COMPLETION REQUIREMENT.—To be eligi- striking ‘‘subparagraph (A)’’ and inserting (5) RESILIENCE.—The term ‘‘resilience’’ ble to receive a grant from, or enter into a ‘‘paragraph (1)’’; means— cooperative agreement with, the Adminis- (2) in subsection (c)(1), by striking ‘‘sub- (A) the capacity to mitigate the negative trator under this subsection, an eligible or- section (b)(2)’’ and inserting ‘‘subsection impacts of crises (including natural disas- ganization shall agree— (b)’’; ters, conflicts, and economic shocks) in (i) to collect, not later than September 30, (3) by striking subsections (d), (f), and (g); order to reduce loss of life and depletion of 2016, data containing the information re- (4) by redesignating subsection (e) as sub- productive assets; quired under subsection (f)(2) relating to the section (d); (B) the capacity to respond effectively to field-based project funded through the grant (5) in subsection (d) (as so redesignated)— crises, ensuring basic needs are met in a way or cooperative agreement; and (A) in paragraph (2)— that is integrated with long-term develop- (ii) to provide to the Administrator the (i) by striking subparagraph (B); and ment efforts; and data collected under clause (i). (ii) in subparagraph (A)— (C) the capacity to recover and rebuild (3) REQUIREMENTS OF ADMINISTRATOR.— (I) by striking ‘‘(A) APPLICATION.—’’ and all after crises so that future shocks can be ab- (A) PROJECT DIVERSITY.— that follows through ‘‘To be eligible’’ in sorbed with less need for ongoing external (i) IN GENERAL.—Subject to clause (ii) and clause (i) and inserting the following: assistance. subparagraph (B), in selecting proposals for

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(ii) PRIORITY.—In selecting proposals for and subcommittees, shall develop a study SEC. 4003. ELIGIBILITY DISQUALIFICATIONS. field-based projects under clause (i), the Ad- that takes into consideration a reorganiza- Section 6(e)(3)(B) of Food and Nutrition ministrator shall ensure that the selected tion of international trade functions for im- Act of 2008 (7 U.S.C. 2015(e)(3)(B)) is amended proposals are for field-based projects that— ports and exports at the Department of Agri- by striking ‘‘section’’ and inserting the fol- (I) effectively integrate emergency and culture. lowing: ‘‘section, subject to the condition long-term development programs to improve (c) IMPLEMENTATION.—In implementing the that the course or program of study— sustainability; study under this section, the Secretary— ‘‘(i) is part of a program of career and tech- (II) demonstrate the potential to reduce (1) in recognition of the importance of ag- nical education (as defined in section 3 of the the need for future emergency assistance; ricultural exports to the farm economy and Carl D. Perkins Career and Technical Edu- and the economy as a whole, may include a rec- cation Act of 2006 (20 U.S.C. 2302)) that may (III) build targeted productive safety nets, ommendation for the establishment of an be completed in not more than 4 years at an in coordination with host country govern- Under Secretary for Trade and Foreign Agri- institution of higher education (as defined in ments, through food for work, cash for work, cultural Affairs; section 102 of the Higher Education Act of and other proven program methodologies. (2) may take into consideration how the 1965 (20 U.S.C. 1002)); or (B) AVAILABILITY.—The Administrator Under Secretary described in paragraph (1) ‘‘(ii) is limited to remedial courses, basic shall not award a grant or cooperative agree- would serve as a multiagency coordinator of adult education, literacy, or English as a ment or approve a field-based project under sanitary and phytosanitary issues and non- second language;’’. this subsection until the date on which the tariff trade barriers in agriculture with re- SEC. 4004. ENDING SUPPLEMENTAL NUTRITION Administrator promulgates regulations or spect to imports and exports of agricultural ASSISTANCE PROGRAM BENEFITS issues guidelines under subsection (e). products; and FOR LOTTERY OR GAMBLING WIN- (e) REGULATIONS; GUIDELINES.— (3) shall take into consideration all impli- NERS. (1) IN GENERAL.—Not later than 180 days cations of a reorganization described in sub- (a) IN GENERAL.—Section 6 of the Food and after the date of completion of the study section (b) on domestic programs and oper- Nutrition Act of 2008 (7 U.S.C. 2015) is amend- under subsection (c), the Administrator shall ations of the Department of Agriculture. ed by adding at the end the following: ‘‘(r) INELIGIBILITY FOR BENEFITS DUE TO RE- promulgate regulations or issue guidelines to (d) REPORT.—Not later than 180 days after CEIPT OF SUBSTANTIAL LOTTERY OR GAMBLING carry out field-based projects under this sec- the date of enactment of this Act, the Sec- WINNINGS.— tion. retary shall submit to the agriculture com- ‘‘(1) IN GENERAL.—Any household in which (2) REQUIREMENTS.—In promulgating regu- mittees and subcommittees a report describ- a member receives substantial lottery or lations or issuing guidelines under paragraph ing the results of the study under this sec- gambling winnings, as determined by the (1), the Administrator shall— tion. Secretary, shall lose eligibility for benefits (A) take into consideration the results of TITLE IV—NUTRITION immediately upon receipt of the winnings. the study described in subsection (c); and Subtitle A—Supplemental Nutrition ‘‘(2) DURATION OF INELIGIBILITY.—A house- (B) provide an opportunity for public re- Assistance Program hold described in paragraph (1) shall remain view and comment. SEC. 4001. FOOD DISTRIBUTION PROGRAM ON IN- ineligible for participation until the house- (f) REPORT.— DIAN RESERVATIONS. hold meets the allowable financial resources (1) IN GENERAL.—Not later than November Section 4(b)(6)(F) of the Food and Nutri- and income eligibility requirements under 1, 2016, the Administrator shall submit to the tion Act of 2008 (7 U.S.C. 2013(b)(6)(F)) is subsections (c), (d), (e), (f), (g), (i), (k), (l), appropriate committees of Congress a report amended by striking ‘‘2012’’ and inserting (m), and (n) of section 5. that— ‘‘2017’’. ‘‘(3) AGREEMENTS.—As determined by the (A) addresses each factor described in para- SEC. 4002. STANDARD UTILITY ALLOWANCES Secretary, each State agency, to the max- graph (2); and BASED ON THE RECEIPT OF ENERGY imum extent practicable, shall establish (B) is conducted in accordance with this ASSISTANCE PAYMENTS. agreements with entities responsible for the section. (a) STANDARD UTILITY ALLOWANCES IN THE regulation or sponsorship of gaming in the (2) REQUIRED FACTORS.—The report shall SUPPLEMENTAL NUTRITION ASSISTANCE PRO- State to determine whether individuals par- include baseline and end-of-project data that GRAM.—Section 5(e)(6)(C) of the Food and Nu- ticipating in the supplemental nutrition as- measures— trition Act of 2008 (7 U.S.C. 2014(e)(6)(C)) is sistance program have received substantial (A) the prevalence of moderate and severe amended— lottery or gambling winnings.’’. hunger so as to provide an accurate account- (1) in clause (i), by inserting ‘‘, subject to (b) CONFORMING AMENDMENTS.—Section 5(a) ing of project impact on household access to clause (iv)’’ after ‘‘Secretary’’; and of the Food and Nutrition Act of 2008 (7 and consumption of food during every month (2) in clause (iv)(I), by striking ‘‘the house- U.S.C. 2014(a)) is amended in the second sen- of the year prior to data collection; hold still incurs’’ and all that follows tence by striking ‘‘sections 6(b), 6(d)(2), and (B) household ownership of and access to through the end of the subclause and insert- 6(g)’’ and inserting ‘‘subsections (b), (d)(2), productive assets, including at a minimum ing ‘‘the payment received by, or made on (g), and (r) of section 6’’. land, livestock, homes, equipment, and other behalf of, the household exceeds $10 or a SEC. 4005. RETAIL FOOD STORES. materials assets needed for income genera- higher amount annually, as determined by (a) DEFINITION OF RETAIL FOOD STORE.— tion; the Secretary.’’. Subsection (o)(1)(A) of section 3 of the Food (C) household incomes, including informal (b) CONFORMING AMENDMENT.—Section and Nutrition Act of 2008 (7 U.S.C. 2012) (as sources of employment; and 2605(f)(2)(A) of the Low-Income Home Energy redesignated by section 4016(a)(4)) is amend- (D) the productive assets of women using Assistance Act of 1981 (42 U.S.C. 8624(f)(2)(A)) ed by striking ‘‘at least 2’’ and inserting ‘‘at the Women’s Empowerment in Agriculture is amended by inserting before the semicolon least 3’’. Index. at the end ‘‘, except that, for purposes of the (b) ALTERNATIVE BENEFIT DELIVERY.—Sec- (3) PUBLIC ACCESS TO RECORDS AND RE- supplemental nutrition assistance program tion 7(f) of the Food and Nutrition Act of PORTS.—Not later than 90 days after the date established under the Food and Nutrition 2008 (7 U.S.C. 2016(f)) is amended— on which the report is submitted under para- Act of 2008 (7 U.S.C. 2011 et seq.), such pay- (1) by striking paragraph (2) and inserting graph (1), the Administrator shall provide ments or allowances exceed $10 or a higher the following: public access to the report. amount annually, as determined by the Sec- ‘‘(2) IMPOSITION OF COSTS.— (g) AUTHORIZATION OF APPROPRIATIONS.— retary of Agriculture in accordance with sec- ‘‘(A) IN GENERAL.—Except as provided in There is authorized to be appropriated to tion 5(e)(6)(C)(iv)(I) of that Act (7 U.S.C. subparagraph (B), the Secretary shall require carry out this section $10,000,000 for each of 2014(e)(6)(C)(iv)(I))’’. participating retail food stores (including fiscal years 2013 through 2017. (c) EFFECTIVE AND IMPLEMENTATION restaurants participating in a State option SEC. 3209. AGRICULTURAL TRADE ENHANCE- DATE.— restaurant program intended to serve the el- MENT STUDY. (1) IN GENERAL.—Except as provided in derly, disabled, and homeless) to pay 100 per- (a) DEFINITION OF AGRICULTURE COMMIT- paragraph (2), this section and the amend- cent of the costs of acquiring, and arrange TEES AND SUBCOMMITTEES.—In this section, ments made by this section shall take effect for the implementation of, electronic benefit the term ‘‘agriculture committees and sub- beginning on October 1, 2013, for all certifi- transfer point-of-sale equipment and sup- committees’’ means— cation periods beginning after that date. plies, including related services. (1) the Committee on Agriculture of the (2) STATE OPTION TO DELAY IMPLEMENTATION ‘‘(B) EXEMPTIONS.—The Secretary may ex- House of Representatives; FOR CURRENT RECIPIENTS.—A State may, at empt from subparagraph (A)—

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‘‘(i) farmers’ markets, military com- (1) by striking the paragraph heading and ‘‘(i) IN GENERAL.—Before authorizing im- missaries, nonprofit food buying coopera- inserting ‘‘REPLACEMENT OF CARDS.—’’; plementation of subparagraph (A) in all tives, and establishments, organizations, (2) by striking ‘‘A State’’ and inserting the States, the Secretary shall pilot the use of programs, or group living arrangements de- following: mobile technologies determined by the Sec- scribed in paragraphs (5), (7), and (8) of sec- ‘‘(A) FEES.—A State’’; and retary to be appropriate to test the feasi- tion 3(k); and (3) by adding after subparagraph (A) (as so bility and implications for program integ- ‘‘(ii) establishments described in para- designated by paragraph (2)) the following: rity, by allowing retail food stores to accept graphs (3), (4), and (9) of section 3(k), other ‘‘(B) PURPOSEFUL LOSS OF CARDS.— benefits from recipients of supplemental nu- than restaurants participating in a State op- ‘‘(i) IN GENERAL.—Subject to terms and trition assistance through mobile trans- tion restaurant program.’’; and conditions established by the Secretary in actions. (2) by adding at the end the following: accordance with clause (ii), if a household ‘‘(ii) DEMONSTRATION PROJECTS.—To be eli- ‘‘(4) TERMINATION OF MANUAL VOUCHERS.— makes excessive requests for replacement of gible to participate in a demonstration ‘‘(A) IN GENERAL.—Effective beginning on the electronic benefit transfer card of the project under clause (i), a retail food store the date of enactment of this paragraph, ex- household, the Secretary may require a shall submit to the Secretary for approval a cept as provided in subparagraph (B), no State agency to decline to issue a replace- plan that includes— State shall issue manual vouchers to a ment card to the household unless the house- ‘‘(I) a description of the technology; household that receives supplemental nutri- hold, upon request of the State agency, pro- ‘‘(II) the manner by which the retail food tion assistance under this Act or allow retail vides an explanation for the loss of the card. store will provide proof of the transaction to food stores to accept manual vouchers as ‘‘(ii) REQUIREMENTS.—The terms and condi- households; payment, unless the Secretary determines tions established by the Secretary shall pro- ‘‘(III) the provision of data to the Sec- that the manual vouchers are necessary, vide that— retary, consistent with requirements estab- such as in the event of an electronic benefit ‘‘(I) the household be given the oppor- lished by the Secretary, in a manner that al- transfer system failure or a disaster situa- tunity to provide the requested explanation lows the Secretary to evaluate the impact of tion. and meet the requirements under this para- the demonstration on participant access, ‘‘(B) EXEMPTIONS.—The Secretary may ex- graph promptly; ease of use, and program integrity; and empt categories of retail food stores or indi- ‘‘(II) after an excessive number of lost ‘‘(IV) such other criteria as the Secretary vidual retail food stores from subparagraph cards, the head of the household shall be re- may require. (A) based on criteria established by the Sec- quired to review program rights and respon- ‘‘(iii) DATE OF COMPLETION.—The dem- retary. sibilities with State agency personnel au- onstration projects under this subparagraph ‘‘(5) UNIQUE IDENTIFICATION NUMBER RE- thorized to make determinations under sec- shall be completed and final reports sub- QUIRED.—The Secretary shall require all par- tion 5(a); and mitted to the Secretary by not later than ties providing electronic benefit transfer ‘‘(III) any action taken, including actions July 1, 2015. services to provide for and maintain unique required under section 6(b)(2), other than the ‘‘(C) REPORT TO CONGRESS.—The Secretary terminal identification number information withholding of the electronic benefit trans- shall— through the supplemental nutrition assist- fer card until an explanation described in ‘‘(i) by not later than January 1, 2016, au- ance program electronic benefit transfer subclause (I) is provided, shall be consistent thorize implementation of subparagraph (A) transaction routing system.’’. with the due process protections under sec- in all States, unless the Secretary makes a (c) ELECTRONIC BENEFIT TRANSFERS.—Sec- tion 6(b) or 11(e)(10), as appropriate. finding, based on the data provided under tion 7(h)(3)(B) of the Food and Nutrition Act ‘‘(C) PROTECTING VULNERABLE PERSONS.—In subparagraph (B), that implementation in all of 2008 (7 U.S.C. 2016(h)(3)(B)) is amended by implementing this paragraph, a State agency States is not in the best interest of the sup- striking ‘‘is operational—’’ and all that fol- shall act to protect homeless persons, per- plemental nutrition assistance program; and lows through ‘‘(ii) in the case of other par- sons with disabilities, victims of crimes, and ‘‘(ii) if the determination made in clause ticipating stores,’’ and inserting ‘‘is oper- other vulnerable persons who lose electronic (i) is not to implement subparagraph (A) in ational’’. benefit transfer cards but are not inten- all States, submit a report to the Committee (d) APPROVAL OF RETAIL FOOD STORES AND tionally committing fraud. on Agriculture of the House of Representa- WHOLESALE FOOD CONCERNS.—Section 9 of ‘‘(D) EFFECT ON ELIGIBILITY.—While a State tives and the Committee on Agriculture, Nu- the Food and Nutrition Act of 2008 (7 U.S.C. may decline to issue an electronic benefits trition, and Forestry of the Senate that in- 2018) is amended— transfer card until a household satisfies the cludes the basis of the finding.’’. (1) in subsection (a)— requirements under this paragraph, nothing (A) in the second sentence of paragraph in this paragraph shall be considered a denial (b) ACCEPTANCE OF BENEFITS THROUGH ON- (a)(1), by striking ‘‘; and (C)’’ and inserting of, or limitation on, the eligibility for bene- LINE TRANSACTIONS.— ‘‘; (C) whether the applicant is located in an fits under section 5.’’. (1) IN GENERAL.—Section 7 of the Food and Nutrition Act of 2008 (7 U.S.C. 2016) is amend- area with significantly limited access to SEC. 4007. TECHNOLOGY MODERNIZATION FOR food; and (D)’’; and RETAIL FOOD STORES. ed by adding at the end the following: (2) by adding at the end the following: (a) MOBILE TECHNOLOGIES.—Section 7(h) of ‘‘(k) OPTION TO ACCEPT PROGRAM BENEFITS ‘‘(4) RETAIL FOOD STORES WITH SIGNIFICANT the Food and Nutrition Act of 2008 (7 U.S.C. THROUGH ON-LINE TRANSACTIONS.— SALES OF EXCEPTED ITEMS.— 2016(h)) (as amended by section 4016(e)) is ‘‘(1) IN GENERAL.—Subject to paragraph (4), ‘‘(A) IN GENERAL.—No retail food store for amended by adding at the end the following: the Secretary shall approve retail food stores which at least 45 percent of the total sales of ‘‘(14) MOBILE TECHNOLOGIES.— to accept benefits from recipients of supple- the retail food store is from the sale of ex- ‘‘(A) IN GENERAL.—Subject to subparagraph mental nutrition assistance through on-line cepted items described in section 3(k)(1) may (B), the Secretary shall approve retail food transactions. be authorized to accept and redeem benefits stores to redeem benefits through electronic ‘‘(2) REQUIREMENTS TO ACCEPT BENEFITS.—A unless the Secretary determines that the means other than wired point of sale devices retail food store seeking to accept benefits participation of the retail food store is re- for electronic benefit transfer transactions, from recipients of supplemental nutrition as- quired for the effective and efficient oper- if the retail food stores— sistance through on-line transactions shall— ation of the supplemental nutrition assist- ‘‘(i) establish recipient protections regard- ‘‘(A) establish recipient protections regard- ance program. ing privacy, ease of use, access, and support ing privacy, ease of use, access, and support ‘‘(B) APPLICATION.—Subparagraph (A) shall similar to the protections provided for trans- similar to the protections provided for trans- be effective— actions made in retail food stores; actions made in retail food stores; ‘‘(i) in the case of retail food stores apply- ‘‘(ii) bear the costs of obtaining, installing, ‘‘(B) ensure benefits are not used to pay de- ing to be authorized for the first time, begin- and maintaining mobile technologies, in- livery, ordering, convenience, or other fees ning on the date that is 1 year after the date cluding mechanisms needed to process EBT or charges; of enactment of this paragraph; and cards and transaction fees; ‘‘(C) clearly notify participating house- ‘‘(ii) in the case of retail food stores par- ‘‘(iii) demonstrate the foods purchased holds at the time a food order is placed— ticipating in the program on the date of en- with benefits issued under this section ‘‘(i) of any delivery, ordering, convenience, actment of this paragraph, during periodic through mobile technologies are purchased or other fee or charge associated with the reauthorization in accordance with para- at a price not higher than the price of the food purchase; and graph (2)(A).’’; and same food purchased by other methods used ‘‘(ii) that any such fee cannot be paid with (3) by adding at the end the following: by the retail food store, as determined by the benefits provided under this Act; ‘‘(g) EBT SERVICE REQUIREMENT.—An ap- Secretary; ‘‘(D) ensure the security of on-line trans- proved retail food store shall provide ade- ‘‘(iv) provide adequate documentation for actions by using the most effective tech- quate EBT service as described in section each authorized transaction, as determined nology available that the Secretary con- 7(h)(3)(B).’’. by the Secretary; and siders appropriate and cost-effective and SEC. 4006. IMPROVING SECURITY OF FOOD AS- ‘‘(v) meet other criteria as established by that is comparable to the security of trans- SISTANCE. the Secretary. actions at retail food stores; and Section 7(h)(8) of the Food and Nutrition ‘‘(B) DEMONSTRATION PROJECT ON ACCEPT- ‘‘(E) meet other criteria as established by Act of 2008 (7 U.S.C. 2016(h)(8)) is amended— ANCE OF BENEFITS OF MOBILE TRANSACTIONS.— the Secretary.

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‘‘(3) STATE AGENCY ACTION.—Each State benefits for the initial cost of the purchase after the last day of each fiscal year there- agency shall ensure that recipients of supple- of a community-supported agriculture share after, the Secretary shall report to the Com- mental nutrition assistance can use benefits for an appropriate time in advance of food mittee on Agriculture of the House of Rep- on-line as described in this subsection as ap- delivery as determined by the Secretary,’’ resentatives and the Committee on Agri- propriate. after ‘‘as determined by the Secretary,’’. culture, Nutrition, and Forestry of the Sen- ‘‘(4) DEMONSTRATION PROJECT ON ACCEPT- SEC. 4009. RESTAURANT MEALS PROGRAM. ate on the effectiveness of a program under ANCE OF BENEFITS THROUGH ON-LINE TRANS- (a) IN GENERAL.—Section 11(e) of the Food this subsection using any information re- ACTIONS.— and Nutrition Act of 2008 (7 U.S.C. 2020(e)) is ceived from States under section 11(e)(24) as ‘‘(A) IN GENERAL.—Before the Secretary au- amended— well as any other information the Secretary thorizes implementation of paragraph (1) in (1) in paragraph (22), by striking ‘‘and’’ at may have relating to the manner in which all States, the Secretary shall carry out a the end; benefits are used.’’. (c) CONFORMING AMENDMENTS.—Section number of demonstration projects as deter- (2) in paragraph (23), by striking the period 3(k) of the Food and Nutrition Act of 2008 (7 mined by the Secretary to test the feasi- at the end of subparagraph (C) and inserting U.S.C. 2012(k)) is amended by inserting ‘‘sub- bility of allowing retail food stores to accept ‘‘; and’’; and ject to section 9(h)’’ after ‘‘concessional benefits through on-line transactions. (3) by adding at the end the following: ‘‘(B) DEMONSTRATION PROJECTS.—To be eli- prices’’ each place it appears. ‘‘(24) if the State elects to carry out a pro- gible to participate in a demonstration SEC. 4010. QUALITY CONTROL ERROR RATE DE- gram to contract with private establish- project under subparagraph (A), a retail food TERMINATION. ments to offer meals at concessional prices, store shall submit to the Secretary for ap- Section 16(c) of the Food and Nutrition Act as described in paragraphs 3, 4, and 9 of sec- proval a plan that includes— of 2008 (7 U.S.C. 2025(c)) is amended by adding tion 3(k)— ‘‘(i) a method of ensuring that benefits at the end the following: ‘‘(A) the plans of the State agency for oper- may be used to purchase only eligible items ‘‘(10) TOLERANCE LEVEL.—For the purposes ating the program, including— under this Act; of this subsection, the Secretary shall set ‘‘(i) documentation of a need that eligible ‘‘(ii) a description of the method of edu- the tolerance level for excluding small errors homeless, elderly, and disabled clients are cating participant households about the at $25.’’. underserved in a particular geographic area; availability and operation of on-line pur- SEC. 4011. AUTHORIZATION OF APPROPRIATIONS. ‘‘(ii) the manner by which the State agen- chasing; Section 18(a)(1) of the Food and Nutrition cy will limit participation to only those pri- ‘‘(iii) adequate testing of the on-line pur- Act of 2008 (7 U.S.C. 2027(a)(1)) is amended in vate establishments that the State deter- chasing option prior to implementation; the first sentence by striking ‘‘2012’’ and in- mines necessary to meet the need identified ‘‘(iv) the provision of data as requested by serting ‘‘2017’’. in clause (i); and the Secretary for purposes of analyzing the SEC. 4012. ASSISTANCE FOR COMMUNITY FOOD ‘‘(iii) any other conditions the Secretary impact of the project on participant access, PROJECTS. may prescribe, such as the level of security ease of use, and program integrity; Section 25 of the Food and Nutrition Act of necessary to ensure that only eligible recipi- 2008 (7 U.S.C. 2034) is amended— ‘‘(v) reports on progress, challenges, and ents participate in the program; and (1) in subsection (a)(1)(B)(ii)— results, as determined by the Secretary; and ‘‘(B) a report by the State agency to the (A) by striking subclause (I); and ‘‘(vi) such other criteria, including secu- Secretary annually, the schedule of which (B) by redesignating subclauses (II) and rity criteria, as established by the Secretary. shall be established by the Secretary, that (III) as subclauses (I) and (II), respectively; ‘‘(C) DATE OF COMPLETION.—The demonstra- includes— and tion projects under this paragraph shall be ‘‘(i) the number of households and indi- (2) in subsection (b), by adding at the end completed and final reports submitted to the vidual recipients authorized to participate in the following: Secretary by not later than July 1, 2015. the program, including any information on ‘‘(3) FUNDING.— ‘‘(5) REPORT TO CONGRESS.—The Secretary whether the individual recipient is elderly, ‘‘(A) IN GENERAL.—Out of any funds in the shall— disabled, or homeless; and Treasury not otherwise appropriated, the ‘‘(A) by not later than January 1, 2016, au- ‘‘(ii) an assessment of whether the program Secretary of the Treasury shall transfer to thorize implementation of paragraph (1) in is meeting an established need, as docu- the Secretary to carry out this section not all States, unless the Secretary makes a mented under subparagraph (A)(i).’’. less than $5,000,000 for fiscal year 2013 and finding, based on the data provided under (b) APPROVAL OF RETAIL FOOD STORES AND each fiscal year thereafter. paragraph (4), that implementation in all WHOLESALE FOOD CONCERNS.—Section 9 of ‘‘(B) RECEIPT AND ACCEPTANCE.—The Sec- States is not in the best interest of the sup- the Food and Nutrition Act of 2008 (7 U.S.C. retary shall be entitled to receive, shall ac- plemental nutrition assistance program; and 2018) (as amended by section 4005(d)(3)) is cept, and shall use to carry out this section ‘‘(B) if the determination made in subpara- amended by adding at the end the following: the funds transferred under subparagraph graph (A) is not to implement in all States, ‘‘(h) PRIVATE ESTABLISHMENTS.— (A), without further appropriation. submit a report to the Committee on Agri- ‘‘(1) IN GENERAL.—Subject to paragraph (2), ‘‘(C) MAINTENANCE OF FUNDING.—The fund- culture of the House of Representatives and no private establishment that contracts with ing provided under subparagraph (A) shall the Committee on Agriculture, Nutrition, a State agency to offer meals at concessional supplement (and not supplant) other Federal and Forestry of the Senate that includes the prices as described in paragraphs 3, 4, and 9 funding made available to the Secretary to basis of the finding.’’. of section 3(k) may be authorized to accept carry out this section.’’. (2) CONFORMING AMENDMENTS.— and redeem benefits unless the Secretary de- SEC. 4013. EMERGENCY FOOD ASSISTANCE. (A) Section 7(b) of the Food and Nutrition termines that the participation of the pri- (a) PURCHASE OF COMMODITIES.—Section Act of 2008 (7 U.S.C. 2016(b)) is amended by vate establishment is required to meet a doc- 27(a) of the Food and Nutrition Act of 2008 (7 striking ‘‘purchase food in retail food stores’’ umented need in accordance with section U.S.C. 2036(a)) is amended— and inserting ‘‘purchase food from retail food 11(e)(24). (1) in paragraph (1), by striking ‘‘2008 stores’’. ‘‘(2) EXISTING CONTRACTS.— through 2012’’ and inserting ‘‘2012 through (B) Section 10 of the Food and Nutrition ‘‘(A) IN GENERAL.—If, on the day before the 2017’’; Act of 2008 (7 U.S.C. 2019) is amended in the date of enactment of this subsection, a State (2) by striking paragraph (2) and inserting first sentence by inserting ‘‘retail food stores has entered into a contract with a private es- the following: authorized to accept and redeem benefits tablishment described in paragraph (1) and ‘‘(2) AMOUNTS.—The Secretary shall use to through on-line transactions shall be author- the Secretary has not determined that the carry out paragraph (1)— ized to accept benefits prior to the delivery participation of the private establishment is ‘‘(A) for fiscal year 2012, $260,250,000; and of food if the delivery occurs within a rea- necessary to meet a documented need in ac- ‘‘(B) for each subsequent fiscal year, the sonable time of the purchase, as determined cordance with section 11(e)(24), the Secretary dollar amount of commodities specified in by the Secretary,’’ after ‘‘food so pur- shall allow the operation of the private es- subparagraph (A) adjusted by the percentage chased,’’. tablishment to continue without that deter- by which the thrifty food plan has been ad- (c) SAVINGS CLAUSE.—Nothing in this sec- tion or an amendment made by this section mination of need for a period not to exceed justed under section 3(u)(4) between June 30, alter any requirements of the Food and Nu- 180 days from the date on which the Sec- 2012, and June 30 of the immediately pre- trition Act of 2008 (7 U.S.C. 2011 et seq.) un- retary establishes determination criteria, by ceding fiscal year, and subsequently in- less specifically authorized in this section or regulation, under section 11(e)(24). creased by— an amendment made by this section. ‘‘(B) JUSTIFICATION.—If the Secretary ‘‘(i) for fiscal year 2013, $28,000,000; SEC. 4008. USE OF BENEFITS FOR PURCHASE OF makes a determination to terminate a con- ‘‘(ii) for fiscal year 2014, $44,000,000; COMMUNITY-SUPPORTED AGRI- tract with a private establishment that is in ‘‘(iii) for fiscal year 2015, $24,000,000; CULTURE SHARE. effect on the date of enactment of this sub- ‘‘(iv) for fiscal year 2016, $18,000,000; and Section 10 of the Food and Nutrition Act of section, the Secretary shall provide jus- ‘‘(v) for fiscal year 2017 and each fiscal year 2008 (7 U.S.C. 2019) (as amended by section tification to the State in which the private thereafter, $10,000,000.’’; and 4007(b)(2)(B)) is amended in the first sentence establishment is located for that termi- (3) by adding at the end the following: by inserting ‘‘agricultural producers who nation. ‘‘(3) FUNDS AVAILABILITY.—For purposes of market agricultural products directly to ‘‘(3) REPORT TO CONGRESS.—Not later than the funds described in this subsection, the consumers shall be authorized to redeem 90 days after September 30, 2013, and 90 days Secretary shall—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00103 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4034 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(A) make the funds available for 2 fiscal (f) Section 9(a) of the Food and Nutrition amended in the first sentence by striking years; and Act of 2008 (7 U.S.C. 2018(a)) is amended by ‘‘2012’’ and inserting ‘‘2017’’. ‘‘(B) allow States to carry over unexpended indenting paragraph (3) appropriately. SEC. 4104. TECHNICAL AND CONFORMING balances to the next fiscal year pursuant to (g) Section 12 of the Food and Nutrition AMENDMENTS. such terms and conditions as are determined Act of 2008 (7 U.S.C. 2021) is amended— Section 3 of the Commodity Distribution by the Secretary.’’. (1) in subsection (b)(3)(C), by striking Reform Act and WIC Amendments of 1987 (7 (b) EMERGENCY FOOD PROGRAM INFRASTRUC- ‘‘civil money penalties’’ and inserting ‘‘civil U.S.C. 612c note; Public Law 100–237) is TURE GRANTS.—Section 209(d) of the Emer- penalties’’; and amended— gency Food Assistance Act of 1983 (7 U.S.C. (2) in subsection (g)(1), by striking ‘‘(7 (1) in subsection (a)— 7511a(d)) is amended by striking ‘‘2012’’ and U.S.C. 1786)’’ and inserting ‘‘(42 U.S.C. 1786)’’. (A) in paragraph (2), by striking subpara- inserting ‘‘2017’’. (h) Section 15(b)(1) of the Food and Nutri- graph (B) and inserting the following: SEC. 4014. NUTRITION EDUCATION. tion Act of 2008 (7 U.S.C. 2024(b)(1)) is amend- ‘‘(B) the program established under section Section 28(b) of the Food and Nutrition Act ed in the first sentence by striking ‘‘an ben- 4(b) of the Food and Nutrition Act of 2008 (7 of 2008 (7 U.S.C. 2036a(b)) is amended by in- efit’’ and inserting ‘‘a benefit’’. U.S.C. 2013(b));’’; and serting ‘‘and physical activity’’ after (i) Section 16(a) of the Food and Nutrition (B) in paragraph (3)(D), by striking ‘‘the ‘‘healthy food choices’’. Act of 2008 (7 U.S.C. 2025(a)) is amended in Committee on Education and Labor’’ and in- the proviso following paragraph (8) by strik- serting ‘‘the Committee on Education and SEC. 4015. RETAIL FOOD STORE AND RECIPIENT the Workforce’’; TRAFFICKING. ing ‘‘as amended.’’. (2) in subsection (b)(1)(A)(ii), by striking The Food and Nutrition Act of 2008 (7 (j) Section 18(e) of the Food and Nutrition ‘‘section 32 of the Agricultural Adjustment U.S.C. 2011 et seq.) is amended by adding at Act of 2008 (7 U.S.C. 2027(e)) is amended in Act (7 U.S.C. 601 et seq.)’’ and inserting ‘‘sec- the end the following: the first sentence by striking ‘‘sections 7(f)’’ and inserting ‘‘section 7(f)’’. tion 32 of the Act of August 24, 1935 (7 U.S.C. ‘‘SEC. 29. RETAIL FOOD STORE AND RECIPIENT (k) Section 22(b)(10)(B)(i) of the Food and 612c)’’; TRAFFICKING. Nutrition Act of 2008 (7 U.S.C. (3) in subsection (e)(1)(D)(iii), by striking ‘‘(a) PURPOSE.—The purpose of this section 2031(b)(10)(B)(i)) is amended in the last sen- subclause (II) and inserting the following: is to provide the Department of Agriculture tence by striking ‘‘Food benefits’’ and insert- ‘‘(II) the program established under section with additional resources to prevent traf- ing ‘‘Benefits’’. 4(b) of the Food and Nutrition Act of 2008 (7 ficking in violation of this Act by strength- (l) Section 26(f)(3)(C) of the Food and Nu- U.S.C. 2013(b));’’; and ening recipient and retail food store program trition Act of 2008 (7 U.S.C. 2035(f)(3)(C)) is (4) in subsection (k), by striking ‘‘the Com- integrity. amended by striking ‘‘subsection’’ and in- mittee on Education and Labor’’ and insert- ‘‘(b) USE OF FUNDS.—Additional funds are serting ‘‘subsections’’. ing ‘‘the Committee on Education and the provided under this section to supplement (m) Section 27(a)(1) of the Food and Nutri- Workforce’’. the retail food store and recipient integrity tion Act of 2008 (7 U.S.C. 2036(a)(1)) is amend- activities of the Department. Subtitle C—Miscellaneous ed by striking ‘‘(Public Law 98–8; 7 U.S.C. ‘‘(c) FUNDING.— SEC. 4201. PURCHASE OF FRESH FRUITS AND 612c note)’’ and inserting ‘‘(7 U.S.C. 7515)’’. ‘‘(1) IN GENERAL.—Out of any funds in the VEGETABLES FOR DISTRIBUTION TO (n) Section 509 of the Older Americans Act Treasury not otherwise appropriated, the SCHOOLS AND SERVICE INSTITU- of 1965 (42 U.S.C. 3056g) is amended in the TIONS. Secretary of the Treasury shall transfer to section heading by striking ‘‘FOOD STAMP Section 10603(b) of the Farm Security and the Secretary to carry out this section not PROGRAMS’’ and inserting ‘‘SUPPLE- Rural Investment Act of 2002 (7 U.S.C. 612c– less than $18,500,000 for fiscal year 2013 and MENTAL NUTRITION ASSISTANCE PRO- 4(b)) is amended by striking ‘‘2012’’ and in- each fiscal year thereafter. GRAMS’’. serting ‘‘2017’’. ‘‘(2) RECEIPT AND ACCEPTANCE.—The Sec- (o) Section 4115(c)(2)(H) of the Food, Con- SEC. 4202. SENIORS FARMERS’ MARKET NUTRI- retary shall be entitled to receive, shall ac- servation, and Energy Act of 2008 (Public TION PROGRAM. cept, and shall use to carry out this section Law 110–246; 122 Stat. 1871) is amended by Section 4402(a) of the Farm Security and the funds transferred under paragraph (1), striking ‘‘531’’ and inserting ‘‘454’’. Rural Investment Act of 2002 (7 U.S.C. without further appropriation. 3007(a)) is amended by striking ‘‘2012’’ and in- Subtitle B—Commodity Distribution ‘‘(3) MAINTENANCE OF FUNDING.—The fund- serting ‘‘2017’’. Programs ing provided under paragraph (1) shall sup- SEC. 4203. NUTRITION INFORMATION AND plement (and not supplant) other Federal SEC. 4101. COMMODITY DISTRIBUTION PROGRAM. AWARENESS PILOT PROGRAM. funding for programs carried out under this Section 4(a) of the Agriculture and Con- Section 4403 of the Farm Security and Act.’’. sumer Protection Act of 1973 (7 U.S.C. 612c Rural Investment Act of 2002 (7 U.S.C. 3171 SEC. 4016. TECHNICAL AND CONFORMING note; Public Law 93–86) is amended in the note; Public Law 107–171) is repealed. AMENDMENTS. first sentence by striking ‘‘2012’’ and insert- SEC. 4204. WHOLE GRAIN PRODUCTS. (a) Section 3 of the Food and Nutrition Act ing ‘‘2017’’. Section 4305 of the Food, Conservation, and of 2008 (7 U.S.C. 2012) is amended— SEC. 4102. COMMODITY SUPPLEMENTAL FOOD Energy Act of 2008 (42 U.S.C. 1755a) is amend- (1) in subsection (g), by striking ‘‘coupon,’’ PROGRAM. ed— and inserting ‘‘coupon’’; Section 5 of the Agriculture and Consumer (1) in subsection (a), by striking ‘‘2005’’ and (2) in subsection (k)(7), by striking ‘‘or Protection Act of 1973 (7 U.S.C. 612c note; inserting ‘‘2010’’; are’’ and inserting ‘‘and’’; Public Law 93–86) is amended— (2) in subsection (d), by striking ‘‘2011’’ and (3) by striking subsection (l); (1) in paragraphs (1) and (2)(B) of sub- inserting ‘‘2015’’; (4) by redesignating subsections (m) section (a), by striking ‘‘2012’’ each place it (3) in subsection (e), by striking ‘‘Labor of through (t) as subsections (l) through (s), re- appears and inserting ‘‘2017’’; the House of Representative’’ and inserting spectively; and (2) in the first sentence of subsection (d)(2), ‘‘the Workforce of the House of Representa- (5) by inserting after subsection (s) (as so by striking ‘‘2012’’ and inserting ‘‘2017’’; tives’’; and redesignated) the following: (3) by striking subsection (g) and inserting (4) by adding at the end the following: ‘‘(t) ‘Supplemental nutrition assistance the following: ‘‘(f) FUNDING.— program’ means the program operated pursu- ‘‘(g) ELIGIBILITY.—Except as provided in ‘‘(1) IN GENERAL.—On October 1, 2013, out of ant to this Act.’’. subsection (m), the States shall only provide any funds in the Treasury not otherwise ap- (b) Section 4(a) of the Food and Nutrition assistance under the commodity supple- propriated, the Secretary of the Treasury Act of 2008 (7 U.S.C. 2013(a)) is amended in mental food program to low-income persons shall transfer to the Secretary to carry out the last sentence by striking ‘‘benefits’’ and aged 60 and older.’’; and this section $10,000,000 for the period of fiscal inserting ‘‘Benefits’’. (4) by adding at the end the following: years 2014 through 2015. (c) Section 5 of the Food and Nutrition Act ‘‘(m) PHASE-OUT.—Notwithstanding any ‘‘(2) RECEIPT AND ACCEPTANCE.—The Sec- of 2008 (7 U.S.C. 2014) is amended— other provision of law, an individual who re- retary shall be entitled to receive, shall ac- (1) in the last sentence of subsection ceives assistance under the commodity sup- cept, and shall use to carry out this section (i)(2)(D), by striking ‘‘section 13(b)(2)’’ and plemental food program on the day before the funds transferred under paragraph (1), inserting ‘‘section 13(b)’’; and the date of enactment of this subsection without further appropriation. (2) in subsection (k)(4)(A), by striking shall continue to receive that assistance ‘‘(3) MAINTENANCE OF FUNDING.—The fund- ‘‘paragraph (2)(H)’’ and inserting ‘‘paragraph until the date on which the individual is no ing provided under paragraph (1) shall sup- (2)(G)’’. longer eligible for assistance under the eligi- plement (and not supplant) other Federal (d) Section 6(d)(4) of the Food and Nutri- bility requirements for the program in effect funding (including funds made available tion Act of 2008 (7 U.S.C. 2015(d)(4)) is amend- on the day before the date of enactment of under section 32 of the Act of August 24, 1935 ed in subparagraphs (B)(vii) and (F)(iii) by this subsection.’’. (7 U.S.C. 612c)) for programs carried out indenting both clauses appropriately. SEC. 4103. DISTRIBUTION OF SURPLUS COMMOD- under— (e) Section 7(h) of the Food and Nutrition ITIES TO SPECIAL NUTRITION ‘‘(A) the Richard B. Russell National Act of 2008 (7 U.S.C. 2016(h)) is amended by PROJECTS. School Lunch Act (42 U.S.C. 1751 et seq.), ex- redesignating the second paragraph (12) (re- Section 1114(a)(2)(A) of the Agriculture and cept for section 19 of that Act (42 U.S.C. lating to interchange fees) as paragraph (13). Food Act of 1981 (7 U.S.C. 1431e(2)(A)) is 1769a);

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‘‘(B) the Emergency Food Assistance Act participating in the supplemental nutrition ‘‘(2) MANDATORY FUNDING.—Of the funds of of 1983 (7 U.S.C. 7501 et seq.); and assistance program by providing incentives the Commodity Credit Corporation, the Sec- ‘‘(C) section 27 of the Food and Nutrition at the point of purchase; retary shall use to carry out subsection (c)— Act of 2008 (7 U.S.C. 2036).’’. ‘‘(III) agrees to participate in the evalua- ‘‘(A) $15,000,000 for fiscal year 2013; SEC. 4205. HUNGER-FREE COMMUNITIES. tion described in paragraph (4); ‘‘(B) $20,000,000 for each of fiscal years 2014 Section 4405 of the Food, Conservation, and ‘‘(IV) ensures that the same terms and con- through 2016; and Energy Act of 2008 (7 U.S.C. 7517) is amend- ditions apply to purchases made by individ- ‘‘(C) $25,000,000 for fiscal year 2017.’’. ed— uals with benefits issued under this Act and SEC. 4206. HEALTHY FOOD FINANCING INITIA- (1) in subsection (a)— incentives provided for in this subsection as TIVE. (A) by striking paragraph (1) and inserting apply to purchases made by individuals who (a) IN GENERAL.—Subtitle D of title II of the following: are not members of households receiving the Department of Agriculture Reorganiza- ‘‘(1) ELIGIBLE ENTITY.— benefits, such as provided for in section tion Act of 1994 (7 U.S.C. 6951 et seq.) is ‘‘(A) COLLABORATIVE GRANTS.—In sub- 278.2(b) of title 7, Code of Federal Regula- amended by adding at the end the following: section (b), the term ‘eligible entity’ means tions (or a successor regulation); and ‘‘SEC. 242. HEALTHY FOOD FINANCING INITIA- a public food program service provider or ‘‘(V) includes effective and efficient tech- TIVE. nonprofit organization, including an emer- nologies for benefit redemption systems that ‘‘(a) PURPOSE.—The purpose of this section gency feeding organization, that has collabo- may be replicated in other for States and is to enhance the authorities of the Sec- rated or will collaborate with 1 or more local communities. retary to support efforts to provide access to partner organizations to achieve at least 1 ‘‘(B) PRIORITY.—In awarding grants under healthy food by establishing an initiative to hunger-free communities goal. this section, the Secretary shall give pri- improve access to healthy foods in under- ‘‘(B) INCENTIVE GRANTS.—In subsection (c), ority to projects that— served areas, to create and preserve quality the term ‘eligible entity’ means a nonprofit ‘‘(i) maximize the share of funds used for jobs, and to revitalize low-income commu- organization (including an emergency feed- direct incentives to participants; nities by providing loans and grants to eligi- ing organization), an agricultural coopera- ‘‘(ii) use direct-to-consumer sales mar- ble fresh, healthy food retailers to overcome tive, producer network or association, com- keting; the higher costs and initial barriers to entry munity health organization, public benefit ‘‘(iii) demonstrate a track record of design- in underserved areas. corporation, economic development corpora- ing and implementing successful nutrition ‘‘(b) DEFINITIONS.—In this section: tion, farmers’ market, community-supported incentive programs that connect low-income ‘‘(1) COMMUNITY DEVELOPMENT FINANCIAL agriculture program, buying club, supple- consumers and agricultural producers; INSTITUTION.—The term ‘community develop- mental nutrition assistance program retail ‘‘(iv) provide locally or regionally produced ment financial institution’ has the meaning food store, a State, local, or tribal agency, fruits and vegetables; given the term in section 103 of the Commu- and any other entity the Secretary des- ‘‘(v) are located in underserved commu- nity Development Banking and Financial In- ignates.’’; nities; or stitutions Act of 1994 (12 U.S.C. 4702). (B) by adding at the end the following: ‘‘(vi) address other criteria as established ‘‘(2) INITIATIVE.—The term ‘Initiative’ ‘‘(4) SUPPLEMENTAL NUTRITION ASSISTANCE by the Secretary. means the Healthy Food Financing Initia- PROGRAM.—The term ‘supplemental nutrition ‘‘(3) APPLICABILITY.— tive established under subsection (c)(1). assistance program’ means the supplemental ‘‘(A) IN GENERAL.—The value of any benefit ‘‘(3) NATIONAL FUND MANAGER.—The term nutrition assistance program established provided to a participant in any activity ‘national fund manager’ means a community under the Food and Nutrition Act of 2008 (7 funded under this subsection shall not be development financial institution that is— U.S.C. 2011 et seq.). considered income or resources for any pur- ‘‘(A) in existence on the date of enactment ‘‘(5) UNDERSERVED COMMUNITY.—The term pose under any Federal, State, or local law. of this section; and ‘underserved community’ has the meaning ‘‘(B) PROHIBITION ON COLLECTION OF SALES ‘‘(B) certified by the Community Develop- given the term in section 25 of the Food and TAXES.—Each State shall ensure that no ment Financial Institution Fund of the De- Nutrition Act of 2008 (7 U.S.C. 2034).’’; State or local tax is collected on a purchase partment of Treasury to manage the Initia- (2) in subsection (b)(1)(A), by striking ‘‘not of food under this subsection. tive for purposes of— more than 50 percent of any funds made ‘‘(C) NO LIMITATION ON BENEFITS.—A grant ‘‘(i) raising private capital; available under subsection (e)’’ and inserting made available under this subsection shall ‘‘(ii) providing financial and technical as- ‘‘funds made available under subsection not be used to carry out any project that sistance to partnerships; and (d)(1)’’; and limits the use of benefits under the Food and ‘‘(iii) funding eligible projects to attract (3) by striking subsections (c), (d), and (e) Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) or fresh, healthy food retailers to underserved and inserting the following: any other Federal nutrition law. areas, in accordance with this section. ‘‘(c) HUNGER-FREE COMMUNITIES INCENTIVE ‘‘(D) HOUSEHOLD ALLOTMENT.—Assistance ‘‘(4) PARTNERSHIP.—The term ‘partnership’ GRANTS.— provided under this subsection to households means a regional, State, or local public-pri- ‘‘(1) AUTHORIZATION.— receiving benefits under the supplemental vate partnership that— ‘‘(A) IN GENERAL.—In each of the years nutrition assistance program shall not— ‘‘(A) is organized to improve access to specified in subsection (d), the Secretary ‘‘(i) be considered part of the supplemental fresh, healthy foods; shall make grants to eligible entities in ac- nutrition assistance program benefits of the ‘‘(B) provides financial and technical as- cordance with paragraph (2). household; or sistance to eligible projects; and ‘‘(B) FEDERAL SHARE.—The Federal share of ‘‘(ii) be used in the collection or disposi- ‘‘(C) meets such other criteria as the Sec- the cost of carrying out an activity under tion of claims under section 13 of the Food retary may establish. this subsection shall not exceed 50 percent of and Nutrition Act of 2008 (7 U.S.C. 2022). ‘‘(5) PERISHABLE FOOD.—The term ‘perish- the total cost of the activity. ‘‘(4) EVALUATION.— able food’ means a staple food that is fresh, ‘‘(C) NON-FEDERAL SHARE.— ‘‘(A) INDEPENDENT EVALUATION.—The Sec- refrigerated, or frozen. ‘‘(i) IN GENERAL.—The non-Federal share of retary shall provide for an independent eval- ‘‘(6) QUALITY JOB.—The term ‘quality job’ the cost of an activity under this subsection uation of projects selected under this sub- means a job that provides wages and other may be provided— section that measures the impact of each benefits comparable to, or better than, simi- ‘‘(I) in cash or in-kind contributions as de- project on— lar positions in existing businesses of similar termined by the Secretary, including facili- ‘‘(i) improving the nutrition and health size in similar local economies. ties, equipment, or services; and status of participating households receiving ‘‘(7) STAPLE FOOD.— ‘‘(II) by a State or local government or a incentives under this subsection; and ‘‘(A) IN GENERAL.—The term ‘staple food’ private source. ‘‘(ii) increasing fruit and vegetable pur- means food that is a basic dietary item. ‘‘(ii) LIMITATION.—In the case of a for-prof- chases in participating households. ‘‘(B) INCLUSIONS.—The term ‘staple food’ it entity, the non-Federal share described in ‘‘(B) REQUIREMENT.—The independent eval- includes— clause (i) shall not include services of an em- uation under subparagraph (A) shall use rig- ‘‘(i) bread; ployee, including salaries paid or expenses orous methodologies capable of producing ‘‘(ii) flour; covered by the employer. scientifically valid information regarding ‘‘(iii) fruits; ‘‘(2) CRITERIA.— the effectiveness of a project. ‘‘(iv) vegetables; and ‘‘(A) IN GENERAL.—For purposes of this sub- ‘‘(C) COSTS.—The Secretary may use funds ‘‘(v) meat. section, an eligible entity is a governmental not to exceed 10 percent of the funding pro- ‘‘(c) INITIATIVE.— agency or nonprofit organization that— vided to carry out this section to pay costs ‘‘(1) ESTABLISHMENT.—The Secretary shall ‘‘(i) meets the application criteria set forth associated with administering, monitoring, establish an initiative to achieve the purpose by the Secretary; and and evaluating each project. described in subsection (a) in accordance ‘‘(ii) proposes a project that, at a min- ‘‘(d) FUNDING.— with this subsection. imum— ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(2) IMPLEMENTATION.— ‘‘(I) has the support of the State agency; There is authorized to be appropriated to ‘‘(A) IN GENERAL.— ‘‘(II) would increase the purchase of fruits carry out subsection (b) $5,000,000 for each of ‘‘(i) IN GENERAL.—In carrying out the Ini- and vegetables by low-income consumers fiscal years 2013 through 2017. tiative, the Secretary shall provide funding

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FARM OWNERSHIP LOANS. by the Secretary) and— entity pursuant to clause (i) shall be used— ‘‘(A) is a qualified beginning farmer; ‘‘(a) IN GENERAL.—The Secretary may ‘‘(I) to create revolving loan pools of cap- make or guarantee a farm ownership loan ‘‘(B) has not received a previous direct ital or other products to provide loans to fi- under this chapter to an eligible farmer. farm ownership loan made under this chap- nance eligible projects or partnerships; ‘‘(b) ELIGIBILITY.—A farmer shall be eligi- ter; or ‘‘(II) to provide grants for eligible projects ble under subsection (a) only— ‘‘(C) has not received a direct farm owner- or partnerships; ‘‘(1) if the farmer, or, in the case of an enti- ship loan under this chapter more than 10 ‘‘(III) to provide technical assistance to ty, 1 or more individuals holding a majority years before the date on which the new loan funded projects and entities seeking Initia- interest in the farmer— would be made. tive funding; and ‘‘(A) is a citizen of the United States; and ‘‘(2) YOUTH LOANS.—The operation of an en- ‘‘(IV) to cover administrative expenses of ‘‘(B) in the case of a direct loan, has train- terprise by a youth under section 3201(d) the national fund manager in an amount not ing or farming experience that the Secretary shall not be considered the operation of a to exceed 10 percent of the Federal funds pro- determines is sufficient to ensure a reason- farm for purposes of paragraph (1). vided. able prospect of success in the farming oper- ‘‘SEC. 3102. PURPOSES OF LOANS. ‘‘(B) ELIGIBLE PROJECTS.—Subject to the ation proposed by the farmer; ‘‘(a) ALLOWED PURPOSES.— approval of the Secretary, the national fund ‘‘(2)(A) in the case of a farmer that is an ‘‘(1) DIRECT LOANS.—A farmer may use a di- manager shall establish eligibility criteria rect loan made under this chapter only— for projects under the Initiative, which shall individual, if the farmer is or proposes to be- ‘‘(A) to acquire or enlarge a farm; include the existence or planned execution of come an owner and operator of a farm that ‘‘(B) to make capital improvements to a agreements— is not larger than a family farm; or farm; ‘‘(i) to expand or preserve the availability ‘‘(B) in the case of a lessee-operator of a ‘‘(C) to pay loan closing costs related to ac- of staple foods in underserved areas with farm located in the State of Hawaii, if the quiring, enlarging, or improving a farm; moderate- and low-income populations by Secretary determines that— ‘‘(D) to pay for activities to promote soil maintaining or increasing the number of re- ‘‘(i) the farm is not larger than a family and water conservation and protection de- tail outlets that offer an assortment of per- farm; scribed in section 3103 on a farm; or ishable food and staple food items, as deter- ‘‘(ii) the farm cannot be acquired in fee ‘‘(E) to refinance a temporary bridge loan mined by the Secretary, in those areas; and simple by the lessee-operator; ‘‘(ii) to accept benefits under the supple- ‘‘(iii) adequate security is provided for the made by a commercial or cooperative lender mental nutrition assistance program estab- loan with respect to the farm for which the to a farmer for the acquisition of land for a lished under the Food and Nutrition Act of lessee-operator applies under this chapter; farm, if— 2008 (7 U.S.C. 2011 et seq.). and ‘‘(i) the Secretary approved an application for a direct farm ownership loan to the farm- ‘‘(C) PRIORITIES.—In carrying out the Ini- ‘‘(iv) there is a reasonable probability of tiative, priority shall be given to projects accomplishing the objectives and repayment er for acquisition of the land; and that— of the loan; ‘‘(ii) funds for direct farm ownership loans ‘‘(i) are located in severely distressed low- ‘‘(3) in the case of a farmer that is a coop- under section 3201(a) were not available at income communities, as defined by the Com- erative, corporation, partnership, trust, lim- the time at which the application was ap- munity Development Financial Institutions ited liability company, joint operation, or proved. Fund of the Department of Treasury; and such other legal entity as the Secretary de- ‘‘(2) GUARANTEED LOANS.—A farmer may ‘‘(ii) include 1 or more of the following termines to be appropriate, with respect to use a loan guaranteed under this chapter characteristics: the entity and each farm in which the entity only— ‘‘(I) The project will create or retain qual- has an ownership or operator interest— ‘‘(A) to acquire or enlarge a farm; ity jobs for low-income residents in the com- ‘‘(A) if— ‘‘(B) to make capital improvements to a munity. ‘‘(i) a majority interest is held by individ- farm; ‘‘(II) The project supports regional food uals who are related by blood or marriage, as ‘‘(C) to pay loan closing costs related to ac- systems and locally grown foods, to the max- defined by the Secretary; quiring, enlarging, or improving a farm; imum extent practicable. ‘‘(ii) all of the individuals are or propose to ‘‘(D) to pay for activities to promote soil ‘‘(III) In areas served by public transit, the become owners or operators of a farm that is and water conservation and protection de- project is accessible by public transit. not larger than a family farm; and scribed in section 3103 on a farm; or ‘‘(IV) The project involves women- or mi- ‘‘(iii) at least 1 of the individuals is or pro- ‘‘(E) to refinance indebtedness. nority-owned businesses. poses to become an operator of the farm; or ‘‘(b) PREFERENCES.—In making or guaran- ‘‘(V) The project receives funding from ‘‘(B) if— teeing a loan under this chapter for purchase other sources, including other Federal agen- ‘‘(i) the entire interest is held by individ- of a farm, the Secretary shall give preference cies. uals who are related by blood or marriage, as to a person who— ‘‘(VI) The project otherwise advances the defined by the Secretary; ‘‘(1) has a dependent family; purpose of this section, as determined by the ‘‘(ii) all of the individuals are or propose to ‘‘(2) to the extent practicable, is able to Secretary. become farm operators; and make an initial down payment on the farm; ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(iii) the ownership interest of each indi- or There is authorized to be appropriated to the vidual separately constitutes not larger than ‘‘(3) is an owner of livestock or farm equip- Secretary to carry out this section a family farm, even if the ownership inter- ment that is necessary to successfully carry $125,000,000, to remain available until ex- ests of the individuals collectively con- out farming operations. pended.’’. stitute larger than a family farm; ‘‘(c) HAZARD INSURANCE REQUIREMENT.— (b) CONFORMING AMENDMENT.—Section ‘‘(4) in the case of an entity that is, or will The Secretary may not make a loan to a 296(b) of the Department of Agriculture Re- become within a reasonable period of time, farmer under this chapter unless the farmer organization Act of 1994 (7 U.S.C. 7014(b)) (as as determined by the Secretary, only the op- has, or agrees to obtain, hazard insurance on amended by section 1609(d)) is amended— erator of a family farm, if the 1 or more indi- any real property to be acquired or improved (1) in paragraph (7), by striking ‘‘or’’ at the viduals who are the owners of the family with the loan. end; farm own— ‘‘SEC. 3103. CONSERVATION LOAN AND LOAN (2) in paragraph (8), by striking the period ‘‘(A) a percentage of the family farm that GUARANTEE PROGRAM. at the end and inserting ‘‘; or’’; and exceeds 50 percent; or ‘‘(a) IN GENERAL.—The Secretary may (3) by adding at the end the following: ‘‘(B) such other percentage as the Sec- make or guarantee qualified conservation ‘‘(9) the authority of the Secretary to es- retary determines to be appropriate; loans to eligible borrowers under this sec- tablish and carry out the Health Food Fi- ‘‘(5) in the case of an operator described in tion. nancing Initiative under section 242.’’. paragraph (3) that is owned, in whole or in ‘‘(b) DEFINITIONS.—In this section: TITLE V—CREDIT part, by 1 or more other entities, if each of ‘‘(1) CONSERVATION PLAN.—The term ‘con- Subtitle A—Farmer Loans, Servicing, and the individuals that have a direct or indirect servation plan’ means a plan, approved by Other Assistance Under the Consolidated ownership interest in such other entities the Secretary, that, for a farming operation, Farm and Rural Development Act also have a direct ownership interest in the identifies the conservation activities that will be addressed with loan funds provided SEC. 5001. FARMER LOANS, SERVICING, AND entity applying as an individual; and OTHER ASSISTANCE UNDER THE ‘‘(6) if the farmer and each individual that under this section, including— CONSOLIDATED FARM AND RURAL holds a majority interest in the farmer is un- ‘‘(A) the installation of conservation struc- DEVELOPMENT ACT. able to obtain credit elsewhere. tures to address soil, water, and related re- The Consolidated Farm and Rural Develop- ‘‘(c) DIRECT LOANS.— sources; ment Act (as amended by section 6001) is ‘‘(1) IN GENERAL.—Subject to paragraph (2), ‘‘(B) the establishment of forest cover for amended by inserting after section 3002 the the Secretary may make a direct loan under sustained yield timber management, erosion following: this chapter only to a farmer who has par- control, or shelter belt purposes;

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‘‘(C) the installation of water conservation ‘‘(b) DETERMINATION OF VALUE.—In deter- ‘‘(3) MULTIPLE LOANS.—A borrower may use measures; mining the value of the farm, the Secretary the same collateral to secure 2 or more loans ‘‘(D) the installation of waste management shall consider appraisals made by competent made or guaranteed under this chapter, ex- systems; appraisers under rules established by the cept that the outstanding amount of the ‘‘(E) the establishment or improvement of Secretary. loans may not exceed the total value of the permanent pasture; ‘‘(c) INFLATION PERCENTAGE.—For purposes collateral. ‘‘(F) compliance with section 1212 of the of this section, the inflation percentage ap- ‘‘(e) MINERAL RIGHTS AS COLLATERAL.— Food Security Act of 1985 (16 U.S.C. 3812); plicable to a fiscal year is the percentage (if ‘‘(1) IN GENERAL.—In the case of a farm and any) by which— ownership loan made after December 23, 1985, ‘‘(G) other purposes consistent with the ‘‘(1) the average of the Prices Paid By unless appraised values of the rights to oil, plan, including the adoption of any other Farmers Index (as compiled by the National gas, or other minerals are specifically in- emerging or existing conservation practices, Agricultural Statistics Service of the De- cluded as part of the appraised value of col- techniques, or technologies approved by the partment) for the 12-month period ending on lateral securing the loan, the rights to oil, Secretary. August 31 of the immediately preceding fis- gas, or other minerals located under the ‘‘(2) QUALIFIED CONSERVATION LOAN.—The cal year; exceeds property shall not be considered part of the term ‘qualified conservation loan’ means a ‘‘(2) the average of that index (as so de- collateral securing the loan. loan, the proceeds of which are used to cover fined) for the 12-month period ending on Au- ‘‘(2) COMPENSATORY PAYMENTS.—Nothing in the costs to the borrower of carrying out a gust 31, 1996. this subsection prevents the inclusion of, as qualified conservation project. ‘‘SEC. 3105. REPAYMENT REQUIREMENTS FOR part of the collateral securing the loan, any ‘‘(3) QUALIFIED CONSERVATION PROJECT.— FARM OWNERSHIP LOANS. payment or other compensation the bor- The term ‘qualified conservation project’ ‘‘(a) PERIOD FOR REPAYMENT.—The period rower may receive for damages to the sur- means conservation measures that address for repayment of a loan under this chapter face of the collateral real estate resulting provisions of a conservation plan of the eligi- shall not exceed 40 years. from the exploration for or recovery of min- ‘‘(b) INTEREST RATES.— ble borrower. erals. ‘‘(1) IN GENERAL.—Except as otherwise pro- ‘‘(c) ELIGIBILITY.— ‘‘(f) ADDITIONAL COLLATERAL.—The Sec- vided in this title, the interest rate on a loan ‘‘(1) IN GENERAL.—The Secretary may make retary may not— or guarantee loans to farmers. under this chapter shall be determined by ‘‘(1) require any borrower to provide addi- the Secretary at a rate— ‘‘(2) REQUIREMENTS.—To be eligible for a tional collateral to secure a farmer program loan under this section, applicants shall ‘‘(A) not to exceed the sum obtained by loan made or guaranteed under this subtitle, meet the citizenship and training and experi- adding— if the borrower is current in the payment of ence requirements of section 3101(b). ‘‘(i) the current average market yield on principal and interest on the loan; or ‘‘(d) PRIORITY.—In making or guaranteeing outstanding marketable obligations of the ‘‘(2) bring any action to foreclose, or other- loans under this section, the Secretary shall United States with remaining periods to ma- wise liquidate, the loan as a result of the give priority to— turity comparable to the average maturity failure of a borrower to provide additional ‘‘(1) qualified beginning farmers and so- of the loan; and collateral to secure the loan, if the borrower cially disadvantaged farmers; ‘‘(ii) an amount not to exceed 1 percent, as was current in the payment of principal and ‘‘(2) owners or tenants who use the loans to determined by the Secretary; and interest on the loan at the time the addi- convert to sustainable or organic agricul- ‘‘(B) adjusted to the nearest 1⁄8 of 1 percent. tional collateral was requested. tural production systems; and ‘‘(2) LOW INCOME FARM OWNERSHIP LOANS.— ‘‘SEC. 3106. LIMITED-RESOURCE LOANS. ‘‘(3) producers who use the loans to build Except as provided in paragraph (3), the in- ‘‘(a) IN GENERAL.—The Secretary may conservation structures or establish con- terest rate on a loan (other than a guaran- make or guarantee a limited-resource loan servation practices to comply with section teed loan) under section 3106 shall be deter- for any of the purposes specified in sections 1212 of the Food Security Act of 1985 (16 mined by the Secretary at a rate that is— 3102(a) or 3103(a) to a farmer in the United U.S.C. 3812). ‘‘(A) not greater than the sum obtained by States who— ‘‘(e) LIMITATIONS APPLICABLE TO LOAN adding— ‘‘(1) in the case of an entity, all members, GUARANTEES.—The portion of a loan that the ‘‘(i) an amount that does not exceed 1⁄2 of stockholders, or partners are eligible under Secretary may guarantee under this section the current average market yield on out- section 3101(b); shall not exceed 75 percent of the principal standing marketable obligations of the ‘‘(2) has a low income; and amount of the loan. United States with maturities of 5 years; and ‘‘(3) demonstrates a need to maximize the ‘‘(f) ADMINISTRATIVE PROVISIONS.—The Sec- ‘‘(ii) an amount not to exceed 1 percent per income of the farmer from farming oper- retary shall ensure, to the maximum extent year, as the Secretary determines is appro- ations. practicable, that loans made or guaranteed priate; and ‘‘(b) INSTALLMENTS.—A loan made or guar- under this section are distributed across di- ‘‘(B) not less than 5 percent per year. anteed under this section shall be repayable verse geographic regions. ‘‘(3) JOINT FINANCING ARRANGEMENT.—If a in such installments as the Secretary deter- ‘‘(g) CREDIT ELIGIBILITY.—The provisions of direct farm ownership loan is made under mines will provide for reduced payments dur- paragraphs (1) and (3) of section 3406(a) shall this chapter as part of a joint financing ar- ing the initial repayment period of the loan not apply to loans made or guaranteed under rangement and the amount of the direct and larger payments during the remainder of this section. farm ownership loan does not exceed 50 per- the repayment period of the loan. ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— cent of the total principal amount financed ‘‘(c) INTEREST RATES.—Except as provided For each of fiscal years 2012 through 2017, under the arrangement, the interest rate on in section 3105(b)(3) and in section 3204(b)(3), there are authorized to be appropriated to the direct farm ownership loan shall be at the interest rate on loans (other than guar- the Secretary such sums as are necessary to least 4 percent annually. anteed loans) under this section shall not carry out this section. ‘‘(4) GUARANTEED LOANS.—The interest rate be— ‘‘SEC. 3104. LOAN MAXIMUMS. on a loan made under this chapter as a guar- ‘‘(1) greater than the sum obtained by add- ‘‘(a) MAXIMUM.— anteed loan shall be such rate as may be ing— 1 ‘‘(1) IN GENERAL.—The Secretary shall agreed on by the borrower and the lender, ‘‘(A) an amount that does not exceed ⁄2 of make or guarantee no loan under sections but not in excess of any rate determined by the current average market yield on out- 3101, 3102, 3103, 3106, and 3107 that would the Secretary. standing marketable obligations of the cause the unpaid indebtedness under those ‘‘(c) PAYMENT OF CHARGES.—A borrower of United States with maturities of 5 years; and sections of any 1 borrower to exceed the less- a loan made or guaranteed under this chap- ‘‘(B) an amount not exceeding 1 percent per er of— ter shall pay such fees and other charges as year, as the Secretary determines is appro- ‘‘(A) the value of the farm or other secu- the Secretary may require, and prepay to the priate; or rity, or Secretary such taxes and insurance as the ‘‘(2) less than 5 percent per year. ‘‘(B)(i) in the case of a loan made by the Secretary may require, on such terms and ‘‘SEC. 3107. DOWNPAYMENT LOAN PROGRAM. Secretary, $300,000; or conditions as the Secretary may prescribe. ‘‘(a) IN GENERAL.— ‘‘(ii) in the case of a loan guaranteed by ‘‘(d) SECURITY.— ‘‘(1) ESTABLISHMENT.—Notwithstanding the Secretary, $700,000 (as modified under ‘‘(1) IN GENERAL.—The Secretary shall take any other provision of this chapter, the Sec- paragraph (2)). as security for an obligation entered into in retary shall establish, under the farm owner- ‘‘(2) MODIFICATION.—The amount specified connection with a loan, a mortgage on a ship loan program established under this in paragraph (1)(B)(ii) shall be— farm with respect to which the loan is made chapter, a program under which loans shall ‘‘(A) increased, beginning with fiscal year or such other security as the Secretary may be made under this section to a qualified be- 2000, by the inflation percentage applicable require. ginning farmer or a socially disadvantaged to the fiscal year in which the loan is guar- ‘‘(2) LIENS TO UNITED STATES.—An instru- farmer for a downpayment on a farm owner- anteed; and ment for security under paragraph (1) may ship loan. ‘‘(B) reduced by the amount of any unpaid constitute a lien running to the United ‘‘(2) COORDINATION.—The Secretary shall be indebtedness of the borrower on loans under States notwithstanding the fact that the the primary coordinator of credit super- chapter 2 that are guaranteed by the Sec- note for the security may be held by a lender vision for the downpayment loan program es- retary. other than the United States. tablished under this section, in consultation

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BEGINNING FARMER AND SOCIALLY er; ‘‘(b) LOAN TERMS.— DISADVANTAGED FARMER CON- ‘‘(2) in the case of a farmer that is an indi- ‘‘(1) PRINCIPAL.—Each loan made under TRACT LAND SALES PROGRAM. vidual, if the farmer is or proposes to become this section shall be in an amount that does ‘‘(a) IN GENERAL.—The Secretary shall, in an operator of a farm that is not larger than not exceed 45 percent of the lesser of— accordance with this section, guarantee a a family farm; ‘‘(A) the purchase price of the farm to be loan made by a private seller of a farm to a ‘‘(3) in the case of a farmer that is a coop- acquired; qualified beginning farmer or socially dis- erative, corporation, partnership, trust, lim- ‘‘(B) the appraised value of the farm to be advantaged farmer on a contract land sales ited liability company, joint operation, or acquired; or basis. other such legal entity as the Secretary de- ‘‘(C) $667,000. ‘‘(b) ELIGIBILITY.—To be eligible for a loan termines to be appropriate, with respect to ‘‘(2) INTEREST RATE.—The interest rate on guarantee under subsection (a)— the entity and each farm in which the entity any loan made by the Secretary under this ‘‘(1) the qualified beginning farmer or so- has an ownership or operator interest— section shall be a rate equal to the greater cially disadvantaged farmer shall— ‘‘(A) if— of— ‘‘(A) on the date the contract land sale ‘‘(i) a majority interest is held by individ- ‘‘(A) the difference between— that is subject of the loan is complete, own uals who are related by blood or marriage, as ‘‘(i) 4 percent; and and operate the farm that is the subject of defined by the Secretary; ‘‘(ii) the interest rate for farm ownership the contract land sale; ‘‘(ii) all of the individuals are or propose to loans under this chapter; or ‘‘(B) have a credit history that— become owners or operators of a farm that is ‘‘(B) 1.5 percent. ‘‘(i) includes a record of satisfactory debt not larger than a family farm; and ‘‘(3) DURATION.—Each loan under this sec- repayment, as determined by the Secretary; ‘‘(iii) at least 1 of the individuals is or pro- tion shall be made for a period of 20 years or and poses to become an operator of the farm; or less, at the option of the borrower. ‘‘(ii) is acceptable to the Secretary; and ‘‘(B) if— ‘‘(4) REPAYMENT.—Each borrower of a loan ‘‘(C) demonstrate to the Secretary that the ‘‘(i) the entire interest is held by individ- under this section shall repay the loan to the farmer is unable to obtain sufficient credit uals who are related by blood or marriage, as Secretary in equal annual installments. without a guarantee to finance any actual defined by the Secretary; ‘‘(5) NATURE OF RETAINED SECURITY INTER- need of the farmer at a reasonable rate or ‘‘(ii) all of the individuals are or propose to EST.—The Secretary shall retain an interest term; and become farm operators; and in each farm acquired with a loan made ‘‘(2) the loan shall meet applicable under- ‘‘(iii) the ownership interest of each indi- under this section that shall— writing criteria, as determined by the Sec- vidual separately constitutes not larger than ‘‘(A) be secured by the farm; retary. a family farm, even if the ownership inter- ‘‘(B) be junior only to such interests in the ‘‘(c) LIMITATIONS.—The Secretary shall not ests of the individuals collectively con- farm as may be conveyed at the time of ac- provide a loan guarantee under subsection stitute larger than a family farm; quisition to the person (including a lender) (a) if— ‘‘(4) in the case of an operator described in from whom the borrower obtained a loan ‘‘(1) the contribution of the qualified be- paragraph (3) that is owned, in whole or in used to acquire the farm; and ginning farmer or socially disadvantaged part by 1 or more other entities, if not less ‘‘(C) require the borrower to obtain the farmer to the down payment for the farm than 75 percent of the ownership interests of permission of the Secretary before the bor- that is the subject of the contract land sale each other entity is owned directly or indi- rower may grant an additional security in- would be less than 5 percent of the purchase rectly by 1 or more individuals who own the terest in the farm. price of the farm; or family farm; and ‘‘(c) LIMITATIONS.— ‘‘(2) the purchase price or the appraisal ‘‘(5) if the farmer and each individual that ‘‘(1) BORROWERS REQUIRED TO MAKE MIN- value of the farm that is the subject of the holds a majority interest in the farmer is un- IMUM DOWN PAYMENT.—The Secretary shall contract land sale is greater than $500,000. not make a loan under this section to any able to obtain credit elsewhere. ‘‘(d) PERIOD OF GUARANTEE.—A loan guar- ‘‘(c) DIRECT LOANS.— borrower with respect to a farm if the con- antee under this section shall be in effect for tribution of the borrower to the down pay- ‘‘(1) IN GENERAL.—Subject to paragraph (3), the 10-year period beginning on the date on the Secretary may make a direct loan under ment on the farm will be less than 5 percent which the guarantee is provided. of the purchase price of the farm. this chapter only to a farmer who— ‘‘(e) GUARANTEE PLAN.— ‘‘(2) PROHIBITED TYPES OF FINANCING.—The ‘‘(A) is a qualified beginning farmer; ‘‘(1) SELECTION OF PLAN.—A private seller ‘‘(B) has not received a previous direct op- Secretary shall not make a loan under this of a farm who makes a loan guaranteed by erating loan made under this chapter; or section with respect to a farm if the farm is the Secretary under subsection (a) may se- ‘‘(C) has not received a direct operating to be acquired with other financing that con- lect— loan made under this chapter for a total of 7 tains any of the following conditions: ‘‘(A) a prompt payment guarantee plan, years, less 1 year for every 3 consecutive ‘‘(A) The financing is to be amortized over which shall cover— years the farmer did not receive a direct op- a period of less than 30 years. ‘‘(i) 3 amortized annual installments; or erating loan after the year in which the bor- ‘‘(B) A balloon payment will be due on the ‘‘(ii) an amount equal to 3 annual install- rower initially received a direct operating financing during the 20-year period begin- ments (including an amount equal to the loan under this chapter, as determined by ning on the date on which the loan is to be total cost of any tax and insurance incurred the Secretary. made by the Secretary. during the period covered by the annual in- ‘‘(d) ADMINISTRATION.—In carrying out this ‘‘(2) YOUTH LOANS.—In this subsection, the stallments); or section, the Secretary shall, to the max- term ‘direct operating loan’ shall not include ‘‘(B) a standard guarantee plan, which imum extent practicable— a loan made to a youth under subsection (d). shall cover an amount equal to 90 percent of ‘‘(1) facilitate the transfer of farms from ‘‘(3) TRANSITION RULE.—If, as of April 4, the outstanding principal of the loan. retiring farmers to persons eligible for in- 1996, a farmer has received a direct operating ‘‘(2) ELIGIBILITY FOR STANDARD GUARANTEE sured loans under this subtitle; loan under this chapter during each of 4 or PLAN.—To be eligible for a standard guar- ‘‘(2) make efforts to widely publicize the more previous years, the borrower shall be antee plan referred to in paragraph (1)(B), a availability of loans under this section eligible to receive a direct operating loan private seller shall— among— under this chapter during 3 additional years ‘‘(A) secure a commercial lending institu- ‘‘(A) potentially eligible recipients of the after April 4, 1996. tion or similar entity, as determined by the loans; ‘‘(4) WAIVERS.— Secretary, to serve as an escrow agent; or ‘‘(B) retiring farmers; and ‘‘(A) FARM OPERATIONS ON TRIBAL LAND.— ‘‘(B) in cooperation with the farmer, use an ‘‘(C) applicants for farm ownership loans The Secretary shall waive the limitation appropriate alternate arrangement, as deter- under this chapter; under paragraph (1)(C) or (3) for a direct loan mined by the Secretary. ‘‘(3) encourage retiring farmers to assist in made under this chapter to a farmer whose the sale of their farms to qualified beginning ‘‘CHAPTER 2—OPERATING LOANS farm land is subject to the jurisdiction of an farmers and socially disadvantaged farmers ‘‘SEC. 3201. OPERATING LOANS. Indian tribe and whose loan is secured by 1 providing seller financing; ‘‘(a) IN GENERAL.—The Secretary may or more security instruments that are sub- ‘‘(4) coordinate the loan program estab- make or guarantee an operating loan under ject to the jurisdiction of an Indian tribe if lished by this section with State programs this chapter to an eligible farmer in the the Secretary determines that commercial that provide farm ownership or operating United States. credit is not generally available for such loans for beginning farmers or socially dis- ‘‘(b) ELIGIBILITY.—A farmer shall be eligi- farm operations. advantaged farmers; and ble under subsection (a) only— ‘‘(B) OTHER FARM OPERATIONS.—On a case- ‘‘(5) establish annual performance goals to ‘‘(1) if the farmer, or an individual holding by-case determination not subject to admin- promote the use of the down payment loan a majority interest in the farmer— istrative appeal, the Secretary may grant a program and other joint financing arrange- ‘‘(A) is a citizen of the United States; and borrower a waiver, 1 time only for a period of ments as the preferred choice for direct real ‘‘(B) has training or farming experience 2 years, of the limitation under paragraph estate loans made by any lender to a quali- that the Secretary determines is sufficient (1)(C) or (3) for a direct operating loan if the

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TERMS OF LOANS. the Secretary that— ticide, or farm supplies, or to meet other es- ‘‘(a) PERSONAL LIABILITY.—A borrower of a ‘‘(i) the borrower has a viable farm oper- sential farm operating expenses, including loan made under this chapter shall secure ation; cash rent; the loan with the full personal liability of ‘‘(ii) the borrower applied for commercial ‘‘(4) to finance land or water development, the borrower and such other security as the credit from at least 2 commercial lenders; use, or conservation; Secretary may prescribe. ‘‘(iii) the borrower was unable to obtain a ‘‘(5) to refinance indebtedness; ‘‘(b) INTEREST RATES.— commercial loan (including a loan guaran- ‘‘(6) to pay loan closing costs; ‘‘(1) MAXIMUM RATE.— teed by the Secretary); and ‘‘(7) to assist a farmer in changing the ‘‘(A) IN GENERAL.—Except as provided in ‘‘(iv) the borrower successfully has com- equipment, facilities, or methods of oper- paragraphs (2) and (3), the interest rate on a pleted, or will complete within 1 year, bor- ation of a farm to comply with a standard loan made under this chapter (other than a rower training under section 3419 (from promulgated under section 6 of the Occupa- guaranteed loan) shall be determined by the which requirement the Secretary shall not tional Safety and Health Act of 1970 (29 Secretary at a rate not to exceed the sum ob- grant a waiver under section 3419(f)). U.S.C. 655) or a standard adopted by a State tained by adding— ‘‘(d) YOUTH LOANS.— under a plan approved under section 18 of ‘‘(i) the current average market yield on ‘‘(1) IN GENERAL.—Notwithstanding sub- that Act (29 U.S.C. 667), if the Secretary de- outstanding marketable obligations of the section (b), except for citizenship and credit termines that without assistance under this United States with remaining periods to ma- requirements, a loan may be made under this paragraph the farmer is likely to suffer sub- turity comparable to the average maturity chapter to a youth who is a rural resident to stantial economic injury due to compliance of the loan; and enable the youth to operate an enterprise in with the standard; ‘‘(ii) an additional charge not to exceed 1 connection with the participation in a youth ‘‘(8) to train a borrower under section 3419; percent, as determined by the Secretary. organization, as determined by the Sec- or ‘‘(B) ADJUSTMENT.—The sum obtained retary. ‘‘(9) to provide other farm or home needs, under subparagraph (A) shall be adjusted to ‘‘(2) FULL PERSONAL LIABILITY.—A youth including family subsistence. the nearest 1⁄8 of 1 percent. receiving a loan under this subsection who ‘‘(c) HAZARD INSURANCE REQUIREMENT.— ‘‘(2) GUARANTEED LOAN.—The interest rate executes a promissory note for the loan shall The Secretary may not make a loan to a on a guaranteed loan made under this chap- incur full personal liability for the indebted- farmer under this chapter unless the farmer ter shall be such rate as may be agreed on by ness evidenced by the note, in accordance has, or agrees to obtain, hazard insurance on the borrower and the lender, but may not ex- with the terms of the note, free of any dis- the property to be acquired with the loan. ceed any rate prescribed by the Secretary. ability of minority. ‘‘(d) PRIVATE RESERVE.— ‘‘(3) LOW INCOME LOAN.—The interest rate ‘‘(3) COSIGNER.—The Secretary may accept ‘‘(1) IN GENERAL.—Notwithstanding any on a direct loan made under this chapter to the personal liability of a cosigner of a prom- other provision of this title, the Secretary a low-income, limited-resource borrower issory note for a loan under this subsection, may reserve a portion of any loan made shall be determined by the Secretary at a in addition to the personal liability of the under this chapter to be placed in an unsu- rate that is not— youth borrower. pervised bank account that may be used at ‘‘(A) greater than the sum obtained by add- ‘‘(4) YOUTH ENTERPRISES NOT FARMING.— the discretion of the borrower for the basic ing— The operation of an enterprise by a youth family needs of the borrower and the imme- ‘‘(i) an amount that does not exceed 1⁄2 of under this subsection shall not be considered diate family of the borrower. the current average market yield on out- the operation of a farm under this subtitle. ‘‘(2) LIMIT ON SIZE OF THE RESERVE.—The standing marketable obligations of the ‘‘SEC. 3202. PURPOSES OF LOANS. size of the reserve shall not exceed the lesser United States with a maturity of 5 years; and ‘‘(a) DIRECT LOANS.—A direct loan may be of— made under this chapter only— ‘‘(A) 10 percent of the loan; ‘‘(ii) an amount not to exceed 1 percent per ‘‘(1) to pay the costs incident to reorga- ‘‘(B) $5,000; or year, as the Secretary determines is appro- nizing a farm for more profitable operation; ‘‘(C) the amount needed to provide for the priate; or ‘‘(2) to purchase livestock, poultry, or farm basic family needs of the borrower and the ‘‘(B) less than 5 percent per year. equipment; immediate family of the borrower for 3 cal- ‘‘(c) PERIOD FOR REPAYMENT.—The period ‘‘(3) to purchase feed, seed, fertilizer, insec- endar months. for repayment of a loan made under this ticide, or farm supplies, or to meet other es- ‘‘SEC. 3203. RESTRICTIONS ON LOANS. chapter may not exceed 7 years. ‘‘(d) LINE-OF-CREDIT LOANS.— sential farm operating expenses, including ‘‘(a) REQUIREMENTS.— ‘‘(1) IN GENERAL.—A loan made or guaran- cash rent; ‘‘(1) IN GENERAL.—The Secretary may not teed by the Secretary under this chapter ‘‘(4) to finance land or water development, make or guarantee a loan under this chap- may be in the form of a line-of-credit loan. use, or conservation; ter— ‘‘(2) TERM.—A line-of-credit loan under ‘‘(5) to pay loan closing costs; ‘‘(A) that would cause the total principal paragraph (1) shall terminate not later than ‘‘(6) to assist a farmer in changing the indebtedness outstanding at any 1 time for 5 years after the date that the loan is made equipment, facilities, or methods of oper- loans made under this chapter to any 1 bor- or guaranteed. ation of a farm to comply with a standard rower to exceed— ‘‘(3) ELIGIBILITY.—For purposes of deter- promulgated under section 6 of the Occupa- ‘‘(i)(I) in the case of a loan made by the mining eligibility for an operating loan tional Safety and Health Act of 1970 (29 Secretary, $300,000; or under this chapter, each year during which a U.S.C. 655) or a standard adopted by a State ‘‘(II) in the case of a loan guaranteed by farmer takes an advance or draws on a line- under a plan approved under section 18 of the Secretary, $700,000 (as modified under of-credit loan the farmer shall be considered that Act (29 U.S.C. 667), if the Secretary de- paragraph (2)); or as having received an operating loan for 1 termines that without assistance under this ‘‘(B) for the purchasing or leasing of land year. paragraph the farmer is likely to suffer sub- other than for cash rent, or for carrying on ‘‘(4) TERMINATION OF DELINQUENT LOANS.—If stantial economic injury in complying with a land leasing or land purchasing program. a borrower does not pay an installment on a the standard; ‘‘(2) MODIFICATION.—The amount specified line-of-credit loan on schedule, the borrower ‘‘(7) to train a limited-resource borrower in paragraph (1)(A)(ii) shall be— may not take an advance or draw on the receiving a loan under section 3106 in main- ‘‘(A) increased, beginning with fiscal year line-of-credit, unless the Secretary deter- taining records of farming operations; 2000, by the inflation percentage applicable mines that— ‘‘(8) to train a borrower under section 3419; to the fiscal year in which the loan is guar- ‘‘(A) the failure of the borrower to pay on ‘‘(9) to refinance the indebtedness of a bor- anteed; and schedule was due to unusual conditions that rower, if the borrower— ‘‘(B) reduced by the unpaid indebtedness of the borrower could not control; and ‘‘(A) has refinanced a loan under this chap- the borrower on loans under sections speci- ‘‘(B) the borrower will reduce the line-of- ter not more than 4 times previously; and fied in section 3104 that are guaranteed by credit balance to the scheduled level at the ‘‘(B)(i) is a direct loan borrower under this the Secretary. end of— title at the time of the refinancing and has ‘‘(b) INFLATION PERCENTAGE.—For purposes ‘‘(i) the production cycle; or suffered a qualifying loss because of a nat- of this section, the inflation percentage ap- ‘‘(ii) the marketing of the agricultural ural or major disaster or emergency; or plicable to a fiscal year is the percentage (if products of the borrower. ‘‘(ii) is refinancing a debt obtained from a any) by which— ‘‘(5) AGRICULTURAL COMMODITIES.—A line- creditor other than the Secretary; or ‘‘(1) the average of the Prices Paid By of-credit loan may be used to finance the ‘‘(10) to provide other farm or home needs, Farmers Index (as compiled by the National production or marketing of an agricultural including family subsistence. Agricultural Statistics Service of the De- commodity that is eligible for a price sup- ‘‘(b) GUARANTEED LOANS.—A loan may be partment) for the 12-month period ending on port program of the Department. guaranteed under this chapter only— August 31 of the immediately preceding fis- ‘‘(1) to pay the costs incident to reorga- cal year; exceeds ‘‘CHAPTER 3—EMERGENCY LOANS nizing a farm for more profitable operation; ‘‘(2) the average of that index (as so de- ‘‘SEC. 3301. EMERGENCY LOANS. ‘‘(2) to purchase livestock, poultry, or farm fined) for the 12-month period ending on Au- ‘‘(a) IN GENERAL.—The Secretary shall equipment; gust 31, 1996. make or guarantee an emergency loan under

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this chapter to an eligible farmer only to the ‘‘(2) the President makes a major disaster ‘‘(4) VALUATION OF FARM ASSETS.—If a farm extent and in such amounts as provided in or emergency designation with respect to the asset (including land, livestock, or equip- advance in appropriation Acts. affected county of the farmer referred to in ment) is used as collateral to secure a loan ‘‘(b) ELIGIBILITY.—An established farmer subsection (b)(5)(B). applied for under this chapter and the gov- shall be eligible under subsection (a) only— ‘‘(d) HAZARD INSURANCE REQUIREMENT.— ernor of the State in which the farm is lo- ‘‘(1) if the farmer or an individual holding The Secretary may not make a loan to a cated requests assistance under this chapter a majority interest in the farmer— farmer under this chapter to cover a prop- or the Robert T. Stafford Disaster Relief and ‘‘(A) is a citizen of the United States; and erty loss unless the farmer had hazard insur- Emergency Assistance Act (42 U.S.C. 5121 et ‘‘(B) has experience and resources that the ance that insured the property at the time of seq.) for the portion of the State in which Secretary determines are sufficient to en- the loss. the asset is located, the Secretary shall es- sure a reasonable prospect of success in the ‘‘(e) FAMILY FARM.—The Secretary shall tablish the value of the asset as of the day farming operation proposed by the farmer; conduct the loan program under this chapter before the occurrence of the natural or major ‘‘(2) in the case of a farmer that is an indi- in a manner that will foster and encourage disaster or emergency. the family farm system of agriculture, con- vidual, if the farmer is— ‘‘(f) REVIEW OF LOAN.— sistent with the reaffirmation of policy and ‘‘(A) in the case of a loan for a purpose ‘‘(1) IN GENERAL.—In the case of a loan declaration of the intent of Congress con- under chapter 1, an owner, operator, or les- made, but not guaranteed, under section tained in section 102(a) of the Food and Agri- see-operator described in section 3101(b)(2); 3301, the Secretary shall review the loan 3 culture Act of 1977 (7 U.S.C. 2266(a)). and years after the loan is made, and every 2 ‘‘(B) in the case of a loan for a purpose ‘‘SEC. 3302. PURPOSES OF LOANS. years thereafter for the term of the loan. ‘‘Subject to the limitations on the under chapter 2, an operator of a farm that ‘‘(2) TERMINATION OF FEDERAL ASSIST- amounts of loans provided in section 3303(a), is not larger than a family farm; ANCE.—If, based on a review under paragraph a loan may be made or guaranteed under this ‘‘(3) in the case of a farmer that is a coop- (1), the Secretary determines that the bor- chapter for— erative, corporation, partnership, trust, lim- rower is able to obtain a loan from a non- ‘‘(1) any purpose authorized for a loan ited liability company, joint operation, or Federal source at reasonable rates and under chapter 1 or 2; and such other legal entity as the Secretary de- terms, the borrower shall, on request by the ‘‘(2) crop or livestock purposes that are— termines to be appropriate, with respect to Secretary, apply for, and accept, a non-Fed- ‘‘(A) necessitated by a quarantine, natural the entity and each farm in which the entity eral loan in a sufficient amount to repay the disaster, major disaster, or emergency; and has an ownership or operator interest— Secretary. ‘‘(B) considered desirable by the farmer. ‘‘(A) if— ‘‘SEC. 3304. PRODUCTION LOSSES. ‘‘SEC. 3303. TERMS OF LOANS. ‘‘(i) a majority interest is held by individ- ‘‘(a) IN GENERAL.—The Secretary shall ‘‘(a) MAXIMUM AMOUNT OF LOAN.—The Sec- uals who are related by blood or marriage, as make or guarantee a loan under this chapter defined by the Secretary; retary may not make or guarantee a loan under this chapter to a borrower who has to an eligible farmer for production losses if ‘‘(ii) all of the individuals are or propose to suffered a loss in an amount that— a single enterprise that constitutes a basic become owners or operators of a farm that is ‘‘(1) exceeds the actual loss caused by a dis- part of the farming operation of the farmer not larger than a family farm; and aster; or has sustained at least a 30 percent loss in ‘‘(iii) at least 1 of the individuals is or pro- ‘‘(2) would cause the total indebtedness of normal per acre or per animal production, or poses to become an operator of the farm; or the borrower under this chapter to exceed such lesser percentage as the Secretary may ‘‘(B) if— $500,000. determine, as a result of a disaster. ‘‘(i) the entire interest is held by individ- ‘‘(b) INTEREST RATES.—Any portion of a ‘‘(b) BASIS FOR PERCENTAGE.—A percentage uals who are related by blood or marriage, as loan under this chapter up to the amount of loss under subsection (a) shall be based on defined by the Secretary; the actual loss suffered by a farmer caused the average monthly price in effect for the ‘‘(ii) all of the individuals are or propose to by a disaster shall be at a rate prescribed by previous crop or calendar year, as appro- become farm operators; and the Secretary, but not in excess of 8 percent priate. ‘‘(iii) the ownership interest of each indi- per annum. ‘‘(c) AMOUNT OF LOAN.—A loan under sub- vidual separately constitutes not larger than ‘‘(c) INTEREST SUBSIDIES FOR GUARANTEED section (a) shall be in an amount that is a family farm, even if the ownership inter- LOANS.—In the case of a guaranteed loan equal to 80 percent, or such greater percent- ests of the individuals collectively con- under this chapter, the Secretary may pay age as the Secretary may determine, of the stitute larger than a family farm; an interest subsidy to the lender for any por- total calculated actual production loss sus- ‘‘(4) if the entity is owned, in whole or in tion of the loan up to the amount of the ac- tained by the farmer. part, by 1 or more other entities and each in- tual loss suffered by a farmer caused by a dividual who is an owner of the family farm ‘‘CHAPTER 4—GENERAL FARMER LOAN disaster. PROVISIONS involved has a direct or indirect ownership ‘‘(d) TIME FOR REPAYMENT.— ‘‘SEC. 3401. AGRICULTURAL CREDIT INSURANCE interest in each of the other entities; ‘‘(1) IN GENERAL.—Subject to paragraph (2), FUND. ‘‘(5) if the farmer and any individual that a loan under this chapter shall be repayable holds a majority interest in the farmer is un- at such times as the Secretary may deter- ‘‘The fund established pursuant to section able to obtain credit elsewhere; and mine, considering the purpose of the loan 11(a) of the Bankhead-Jones Farm Tenant ‘‘(6)(A) if the Secretary finds that the oper- and the nature and effect of the disaster, but Act (60 Stat. 1075, chapter 964) shall be ations of the farmer have been substantially not later than the maximum repayment pe- known as the Agricultural Credit Insurance affected by— riod allowed for a loan for a similar purpose Fund (referred to in this section as the ‘‘(i) a natural or major disaster or emer- under chapters 1 and 2. ‘Fund’, unless the context otherwise re- quires) for the discharge of the obligations of gency designated by the President under the ‘‘(2) EXTENDED REPAYMENT PERIOD.—The Robert T. Stafford Disaster Relief and Emer- Secretary may, if the loan is for a purpose the Secretary under agreements insuring gency Assistance Act (42 U.S.C. 5121 et seq.); described in chapter 2 and the Secretary de- loans under this subtitle and loans and mort- or termines that the need of the loan applicant gages insured under prior authority. ‘‘(ii) a quarantine imposed by the Sec- justifies the longer repayment period, make ‘‘SEC. 3402. GUARANTEED FARMER LOANS. retary under the Plant Protection Act (7 the loan repayable at the end of a period of ‘‘(a) IN GENERAL.—The Secretary may pro- U.S.C. 7701 et seq.) or the Animal Health more than 7 years, but not more than 20 vide financial assistance to a borrower for a Protection Act (7 U.S.C. 8301 et seq.); or years. purpose provided in this subtitle by guaran- ‘‘(B) if the farmer conducts farming oper- ‘‘(e) SECURITY FOR LOAN.— teeing a loan made by any Federal or State ations in a county or a county contiguous to ‘‘(1) IN GENERAL.—A borrower of a loan chartered bank, savings and loan associa- a county in which the Secretary has found made under this chapter shall secure the tion, cooperative lending agency, or other le- that farming operations have been substan- loan with the full personal liability of the gally organized lending agency. tially affected by a natural or major disaster borrower and such other security as the Sec- ‘‘(b) INTEREST RATE.—The interest rate or emergency. retary may prescribe. payable by a borrower on the portion of a ‘‘(c) TIME FOR ACCEPTING AN APPLICATION.— ‘‘(2) ADEQUATE SECURITY.—Subject to para- guaranteed loan that is sold by a lender to The Secretary shall accept an application for graph (3), the Secretary may not make or the secondary market under this subtitle a loan under this chapter from a farmer at guarantee a loan under this chapter unless may be lower than the interest rate charged any time during the 8-month period begin- the security for the loan is adequate to en- on the portion retained by the lender, but ning on the date that— sure repayment of the loan. shall not exceed the average interest rate ‘‘(1) the Secretary determines that farming ‘‘(3) INADEQUATE SECURITY DUE TO DIS- charged by the lender on loans made to farm operations of the farmer have been substan- ASTER.—If adequate security for a loan under borrowers. tially affected by— this chapter is not available because of a dis- ‘‘(c) FEES.—In the case of a loan guarantee ‘‘(A) a quarantine imposed by the Sec- aster, the Secretary shall accept as security on a loan made by a commercial or coopera- retary under the Plant Protection Act (7 any collateral that is available if the Sec- tive lender related to a loan made by the U.S.C. 7701 et seq.) or the Animal Health retary is confident that the collateral and Secretary under section 3107— Protection Act (7 U.S.C. 8301 et seq.); or the repayment ability of the farmer are ade- ‘‘(1) the Secretary shall not charge a fee to ‘‘(B) a natural disaster; or quate security for the loan. any person (including a lender); and

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SPECIAL CONDITIONS AND LIMITA- Except as provided in subsections (e) and (f), ‘‘(2) include a summary of the manner in TIONS ON LOANS. a loan guarantee under this subtitle shall be which the borrower may apply, and be con- ‘‘(a) APPLICANT REQUIREMENTS.—In connec- for not more than 90 percent of the principal sidered, for all such programs, except that tion with a loan made or guaranteed under and interest due on the loan. the Secretary shall not require the borrower this subtitle, the Secretary shall require— ‘‘(e) REFINANCED LOANS GUARANTEED AT 95 to select among the programs or waive any ‘‘(1) the applicant— PERCENT.—The Secretary shall guarantee 95 right to be considered for any program car- ‘‘(A) to certify in writing that, and the percent of— ried out by the Secretary; Secretary shall determine whether, the ap- ‘‘(1) in the case of a loan that solely refi- ‘‘(3) advise the borrower regarding all fil- plicant is unable to obtain credit elsewhere; nances a direct loan made under this sub- ing requirements and any deadlines that and title, the principal and interest due on the must be met for requesting loan servicing; ‘‘(B) to furnish an appropriate written fi- loan on the date of the refinancing; or ‘‘(4) provide any relevant forms, including nancial statement; ‘‘(2) in the case of a loan that is used for applicable response forms; ‘‘(2) except for a guaranteed loan, an agree- multiple purposes, the portion of the loan ‘‘(5) advise the borrower that a copy of reg- ment by the borrower that if at any time it that refinances the principal and interest ulations is available on request; and appears to the Secretary that the borrower due on a direct loan made under this subtitle ‘‘(6) be designed to be readable and under- may be able to obtain a loan from a produc- that is outstanding on the date the loan is standable by the borrower. tion credit association, a Federal land bank, guaranteed. ‘‘(c) CONTAINED IN REGULATIONS.—All no- or other responsible cooperative or private ‘‘(f) BEGINNING FARMER LOANS GUARANTEED tices required by this section shall be con- credit source (or, in the case of a borrower UP TO 95 PERCENT.—The Secretary may guar- tained in the regulations issued to carry out under section 3106, the borrower may be able antee not more than 95 percent of— this title. to obtain a loan under section 3101), at rea- ‘‘(1) a farm ownership loan for acquiring a ‘‘(d) TIMING.—The notice described in sub- sonable rates and terms for loans for similar farm to a borrower who is participating in section (b) shall be provided— purposes and periods of time, the borrower the downpayment loan program under sec- ‘‘(1) at the time an application is made for will, on request by the Secretary, apply for tion 3107; or participation in a loan service program; and accept the loan in a sufficient amount to ‘‘(2) an operating loan to a borrower who is ‘‘(2) on written request of the borrower; repay the Secretary or the insured lender, or participating in the downpayment loan pro- and both, and to pay for any stock necessary to gram under section 3107 that is made during ‘‘(3) before the earliest of the date of— be purchased in a cooperative lending agency the period that the borrower has a direct ‘‘(A) initiating any liquidation; in connection with the loan; loan outstanding under chapter 1 for acquir- ‘‘(B) requesting the conveyance of security ‘‘(3) such provision for supervision of the ing a farm. property; operations of the borrower as the Secretary ‘‘(g) GUARANTEE OF LOANS MADE UNDER ‘‘(C) accelerating the loan; shall consider necessary to achieve the ob- STATE BEGINNING FARMER PROGRAMS.—The ‘‘(D) repossessing property; Secretary may guarantee under this subtitle jectives of the loan and protect the interests ‘‘(E) foreclosing on property; or a loan made under a State beginning farmer of the United States; and ‘‘(F) taking any other collection action. program, including a loan financed by the ‘‘(4) the application of a person who is a ‘‘(e) CONSIDERATION OF BORROWERS FOR net proceeds of a qualified small issue agri- veteran for a loan under chapter 1 or 2 to be LOAN SERVICE PROGRAMS.— cultural bond for land or property described given preference over a similar application ‘‘(1) IN GENERAL.—The Secretary shall con- in section 144(a)(12)(B)(ii) of the Internal from a person who is not a veteran if the ap- sider a farmer program loan borrower for all Revenue Code of 1986. plications are on file in a county or area of- loan service programs if, not later than 60 fice at the same time. ‘‘SEC. 3403. PROVISION OF INFORMATION TO BOR- days after receipt of the notice described in ROWERS. ‘‘(b) AGENCY PROCESSING REQUIREMENTS.— subsection (b), the borrower requests the ‘‘(a) APPROVAL NOTIFICATION.—The Sec- ‘‘(1) NOTIFICATIONS.— consideration in writing. retary shall approve or disapprove an appli- ‘‘(A) INCOMPLETE APPLICATION NOTIFICA- ‘‘(2) PRIORITY.—In considering a borrower cation for a loan or loan guarantee made TION.—If an application for a loan or loan for a loan service program, the Secretary under this subtitle, and notify the applicant guarantee under this subtitle (other than an shall place the highest priority on the pres- of such action, not later than 60 days after operating loan or loan guarantee) is incom- ervation of the farming operations of the the date on which the Secretary has received plete, the Secretary shall inform the appli- borrower. a complete application for the loan or loan cant of the reasons the application is incom- guarantee. ‘‘SEC. 3405. PLANTING AND PRODUCTION HIS- plete not later than 20 days after the date on ‘‘(b) LIST OF LENDERS.—The Secretary TORY GUIDELINES. which the Secretary has received the appli- shall make available to any farmer, on re- ‘‘(a) IN GENERAL.—The Secretary shall en- cation. quest, a list of lenders in the area that par- sure that appropriate procedures, including, ‘‘(B) OPERATING LOANS.— ticipate in guaranteed farmer program loan to the extent practicable, onsite inspections, ‘‘(i) ADDITIONAL INFORMATION NEEDED.—Not programs established under this subtitle, and or use of county or State yield averages, are later than 10 calendar days after the Sec- other lenders in the area that express a de- used in calculating future yields for an appli- retary receives an application for an oper- sire to participate in the programs and that cant for a loan, when an accurate projection ating loan or loan guarantee, the Secretary request inclusion on the list. cannot be made because the past production shall notify the applicant of any information ‘‘(c) OTHER INFORMATION.— history of the farmer has been affected by a required before a decision may be made on ‘‘(1) IN GENERAL.—On the request of a bor- natural or major disaster or emergency. the application. rower, the Secretary shall make available to ‘‘(b) CALCULATION OF YIELDS.— ‘‘(ii) INFORMATION NOT RECEIVED.—If, not the borrower— ‘‘(1) IN GENERAL.—For the purpose of aver- later than 20 calendar days after the date a ‘‘(A) a copy of each document signed by the aging the past yields of the farm of a farmer request is made pursuant to clause (i) with borrower; over a period of crop years to calculate the respect to an application, the Secretary has ‘‘(B) a copy of each appraisal performed future yield of the farm under this title, the not received the information requested, the with respect to the loan; and Secretary shall permit the farmer to exclude Secretary shall notify the applicant and the ‘‘(C) any document that the Secretary is the crop year with the lowest actual or coun- district office of the Farm Service Agency, required to provide to the borrower under ty average yield for the farm from the cal- in writing, of the outstanding information. any law in effect on the date of the request. culation, if the farmer was affected by a nat- ‘‘(C) REQUEST INFORMATION.— ‘‘(2) RULE OF CONSTRUCTION.—Paragraph (1) ural or major disaster or emergency during ‘‘(i) IN GENERAL.—On receipt of an applica- shall not supersede any duty imposed on the at least 2 of the crop years during the period. tion, the Secretary shall request from other Secretary by a law in effect on January 5, ‘‘(2) AFFECTED BY A NATURAL OR MAJOR DIS- parties such information as may be needed in 1988, unless the duty directly conflicts with a ASTER OR EMERGENCY.—A farmer was affected connection with the application. duty under paragraph (1). by a natural or major disaster or emergency ‘‘(ii) INFORMATION FROM AN AGENCY OF THE ‘‘SEC. 3404. NOTICE OF LOAN SERVICE PRO- under paragraph (1) if the Secretary finds DEPARTMENT.—Not later than 15 calendar GRAMS. that the farming operations of the farmer days after the date on which an agency of ‘‘(a) REQUIREMENT.—The Secretary shall have been substantially affected by a natural the Department receives a request for infor- provide notice by certified mail to each bor- or major disaster or emergency, including a mation made pursuant to subparagraph (A), rower who is at least 90 days past due on the farmer who has a qualifying loss but is not the agency shall provide the Secretary with payment of principal or interest on a loan located in a designated or declared disaster the requested information. made under this subtitle. area. ‘‘(2) REPORT OF PENDING APPLICATIONS.— ‘‘(b) CONTENTS.—The notice required under ‘‘(3) APPLICATION OF SUBSECTION.—This sub- ‘‘(A) IN GENERAL.—A county office shall no- subsection (a) shall— section shall apply to any action taken by tify the district office of the Farm Service ‘‘(1) include a summary of all primary loan the Secretary that involves— Agency of each application for an operating service programs, homestead retention pro- ‘‘(A) a loan under chapter 1 or 2; and loan or loan guarantee that is pending more

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than 45 days after receipt, and the reasons ‘‘(1) REVIEW OF LOANS.— ‘‘(D) the market placement program estab- for which the application is pending. ‘‘(A) IN GENERAL.—The Secretary, or a con- lished by section 3422; and ‘‘(B) ACTION ON PENDING APPLICATIONS.—A tracting third party, shall annually review ‘‘(E) other appropriate programs and au- district office that receives a notice provided under section 3420 the loans of each seasoned thorities, as determined by the Secretary. under subparagraph (A) with respect to an direct loan borrower. ‘‘(c) GRADUATION OF BORROWERS WITH OP- application shall immediately take steps to ‘‘(B) ASSISTANCE.—If, based on the review, ERATING LOANS OR GUARANTEES TO PRIVATE ensure that final action is taken on the ap- it is determined that a borrower would be COMMERCIAL CREDIT.—The Secretary shall plication not later than 15 days after the able to obtain a loan, guaranteed by the Sec- establish a plan, in coordination with activi- date of the receipt of the notice. retary, from a commercial or cooperative ties under sections 3419 through 3422, to en- ‘‘(C) PENDING APPLICATION REPORT.—The lender at reasonable rates and terms for courage each borrower with an outstanding district office shall report to the State office loans for similar purposes and periods of loan under this chapter, or with respect to of the Farm Service Agency on each applica- time, the Secretary shall assist the borrower whom there is an outstanding guarantee tion for an operating loan or loan guarantee in applying for the commercial or coopera- under this chapter, to graduate to private that is pending more than 45 days after re- tive loan. commercial or other sources of credit. ceipt, and the reasons for which the applica- ‘‘(2) PROSPECTUS.— tion is pending. ‘‘(A) IN GENERAL.—In accordance with sec- ‘‘SEC. 3408. DEBT ADJUSTMENT AND CREDIT COUNSELING. ‘‘(D) REPORT TO CONGRESS.—Each month, tion 3422, the Secretary shall prepare a pro- the Secretary shall notify the Committee on spectus on each seasoned direct loan bor- ‘‘In carrying out this subtitle, the Sec- Agriculture of the House of Representatives rower determined eligible to obtain a guar- retary may— and the Committee on Agriculture, Nutri- anteed loan. ‘‘(1) provide voluntary debt adjustment as- tion, and Forestry of the Senate, on a State- ‘‘(B) REQUIREMENTS.—The prospectus shall sistance between— by-State basis, as to each application for an contain a description of the amounts of the ‘‘(A) farmers; and operating loan or loan guarantee on which loan guarantee and interest assistance that ‘‘(B) the creditors of the farmers; final action had not been taken within 60 the Secretary will provide to the seasoned ‘‘(2) cooperate with State, territorial, and calendar days after receipt by the Secretary, direct loan borrower to enable the seasoned local agencies and committees engaged in and the reasons for which final action had direct loan borrower to carry out a finan- the debt adjustment; and not been taken. cially viable farming plan if a guaranteed ‘‘(3) give credit counseling. ‘‘(3) DISAPPROVALS.— loan is made. ‘‘SEC. 3409. SECURITY SERVICING. ‘‘(A) IN GENERAL.—If an application for a ‘‘(3) VERIFICATION.— ‘‘(a) SALE OF PROPERTY.— loan or loan guarantee under this subtitle is ‘‘(A) IN GENERAL.—The Secretary shall pro- disapproved by the Secretary, the Secretary vide a prospectus of a seasoned direct loan ‘‘(1) IN GENERAL.—Subject to this sub- shall state the reasons for the disapproval in borrower to each approved lender whose section and subsection (e)(1), the Secretary the notice required under paragraph (1). lending area includes the location of the sea- shall offer to sell real property that is ac- ‘‘(B) DISAPPROVAL DUE TO LACK OF FUNDS.— soned direct loan borrower. quired by the Secretary under this subtitle ‘‘(i) IN GENERAL.—Notwithstanding para- ‘‘(B) NOTIFICATION.—The Secretary shall using the following order and method of sale: graph (1), each application for a loan or loan notify each borrower of a loan that a pro- ‘‘(A) ADVERTISEMENT.—Not later than 15 guarantee under section 3601(e), or for a loan spectus has been provided to a lender under days after acquiring real property, the Sec- under section 3501(a) or 3502(a), that is to be subparagraph (A). retary shall publicly advertise the property disapproved by the Secretary solely because ‘‘(C) CREDIT EXTENDED.—If the Secretary for sale. the Secretary lacks the funds necessary to receives an offer from an approved lender to ‘‘(B) QUALIFIED BEGINNING FARMER.— make the loan or guarantee shall not be dis- extend credit to the seasoned direct loan bor- ‘‘(i) IN GENERAL.—Not later than 75 days approved but shall be placed in pending sta- rower under terms and conditions contained after acquiring real property, the Secretary tus. in the prospectus, the seasoned direct loan shall offer to sell the property to a qualified ‘‘(ii) RECONSIDERATION.—The Secretary borrower shall not be eligible for a loan from beginning farmer or a socially disadvantaged shall retain each pending application and re- the Secretary under chapter 1 or 2, except as farmer at current market value based on a consider the application beginning on the otherwise provided in this section. current appraisal. date that sufficient funds become available. ‘‘(4) INSUFFICIENT ASSISTANCE OR OFFERS.— ‘‘(ii) RANDOM SELECTION.—If more than 1 ‘‘(iii) NOTIFICATION.—Not later than 60 days If the Secretary is unable to provide loan qualified beginning farmer or socially dis- after funds become available regarding each guarantees and, if necessary, interest assist- advantaged farmer offers to purchase the pending application, the Secretary shall no- ance to the seasoned direct loan borrower property, the Secretary shall select between tify the applicant of the approval or dis- under this section in amounts sufficient to the qualified applicants on a random basis. approval of funding for the application. enable the seasoned direct loan borrower to ‘‘(iii) APPEAL OF RANDOM SELECTION.—A ‘‘(4) APPROVALS ON APPEAL.—If an applica- borrow from commercial sources the amount random selection or denial by the Secretary tion for a loan or loan guarantee under this required to carry out a financially viable of a qualified beginning farmer or a socially subtitle is disapproved by the Secretary, but farming plan, or if the Secretary does not re- disadvantaged farmer for farm inventory that action is subsequently reversed or re- ceive an offer from an approved lender to ex- property under this subparagraph shall be vised as the result of an appeal within the tend credit to a seasoned direct loan bor- final and not administratively appealable. Department or to the courts of the United rower under the terms and conditions con- ‘‘(C) PUBLIC SALE.—If no acceptable offer is States and the application is returned to the tained in the prospectus, the Secretary shall received from a qualified beginning farmer Secretary for further consideration, the Sec- make a loan to the seasoned direct loan bor- or a socially disadvantaged farmer under retary shall act on the application and pro- rower under chapter 1 or 2, whichever is ap- subparagraph (B) not later than 135 days vide the applicant with notice of the action plicable. after acquiring the real property, the Sec- not later than 15 days after the date of re- ‘‘(5) INTEREST RATE REDUCTIONS.—To the retary shall, not later than 30 days after the turn of the application to the Secretary. extent necessary for the borrower to obtain 135-day period, sell the property after public ‘‘(5) PROVISION OF PROCEEDS.— a loan, guaranteed by the Secretary, from a notice at a public sale, and, if no acceptable ‘‘(A) IN GENERAL.—Except as provided in commercial or cooperative lender, the Sec- bid is received, by negotiated sale, at the subparagraph (B), if an application for an in- retary shall provide interest rate reductions best price obtainable. sured loan under this title is approved by the as provided for under section 3413. ‘‘(2) INTEREST.— Secretary, the Secretary shall provide the ‘‘(b) TRANSITION TO PRIVATE COMMERCIAL ‘‘(A) IN GENERAL.—Subject to subparagraph loan proceeds to the applicant not later than OR OTHER SOURCES OF CREDIT.— (B), any conveyance of real property under 15 days (or such longer period as the appli- ‘‘(1) IN GENERAL.—In making an operating this subsection shall include all of the inter- cant may approve) after the application for or ownership loan, the Secretary shall estab- est of the United States in the property, in- the loan is approved by the Secretary. lish a plan and promulgate regulations (in- cluding mineral rights. ‘‘(B) LACK OF FUNDS.—If the Secretary is cluding performance criteria) that promote ‘‘(B) CONSERVATION.—The Secretary may unable to provide the loan proceeds to the the goal of transitioning borrowers to pri- for conservation purposes grant or sell an applicant during the 15-day period described vate commercial credit and other sources of easement, restriction, development right, or in subparagraph (A) because sufficient funds credit in the shortest period of time prac- similar legal right to real property to a are not available to the Secretary for that ticable. State, a political subdivision of a State, or a purpose, the Secretary shall provide the loan ‘‘(2) COORDINATION.—In carrying out this private nonprofit organization separately proceeds to the applicant as soon as prac- section, the Secretary shall integrate and co- from the underlying fee or other rights to ticable (but in no event later than 15 days ordinate the transition policy described in the property owned by the United States. unless the applicant agrees to a longer pe- subsection (a) with— ‘‘(3) OTHER LAW.—Subtitle I of title 40, riod) after sufficient funds for that purpose ‘‘(A) the borrower training program estab- United States Code, and title III of the Fed- become available to the Secretary. lished by section 3419; eral Property and Administrative Services ‘‘SEC. 3407. GRADUATION OF BORROWERS. ‘‘(B) the loan assessment process estab- Act of 1949 (41 U.S.C. 251 et seq.) shall not ‘‘(a) GRADUATION OF SEASONED DIRECT lished by section 3420; apply to any exercise of authority under this LOAN BORROWERS TO THE LOAN GUARANTEE ‘‘(C) the supervised credit requirement es- subtitle. PROGRAM.— tablished by section 3421; ‘‘(4) LEASE OF PROPERTY.—

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‘‘(A) IN GENERAL.—Subject to subparagraph the allotments are subject to the jurisdiction ‘‘(III) repayment of any amount with re- (B), the Secretary may not lease any real of an Indian tribe. gard to the loan transaction or lien to the property acquired under this subtitle. ‘‘(B) DISPOSITION.—Except as provided in Treasury of the United States; and ‘‘(B) EXCEPTION.— paragraph (3), the Secretary shall dispose of ‘‘(ii) the Secretary of the Interior shall ‘‘(i) QUALIFIED BEGINNING FARMER OR SO- or administer the property as provided in succeed to all right, title, and interest of the CIALLY DISADVANTAGED FARMER.—The Sec- this paragraph when— Secretary of Agriculture in the real estate retary may lease or contract to sell to a ‘‘(i) the Secretary acquires property under arising from the farm program loan trans- qualified beginning farmer or a socially dis- this subtitle that is located within an Indian action, including the obligation to remit to advantaged farmer a farm acquired by the reservation; and the Treasury of the United States, in repay- Secretary under this subtitle if the qualified ‘‘(ii) the borrower-owner is the Indian tribe ment of the original loan, the amounts pro- beginning farmer qualifies for a credit sale that has jurisdiction over the reservation in vided in subparagraph (G). or direct farm ownership loan under chapter which the real property is located or the bor- ‘‘(G) USE OF INCOME.—After the payment of 1 but credit sale authority for loans or direct any taxes that are required to be paid under rower-owner is a member of the Indian tribe; farm ownership loan funds, respectively, are subparagraph (E)(ii), all remaining rental in- ‘‘(C) PRIORITY.—Not later than 90 days not available. come derived from the lease of the real prop- after acquiring the property, the Secretary ‘‘(ii) TERM.—The term of a lease or con- erty transferred to the Secretary of the Inte- tract to sell to a qualified beginning farmer shall afford an opportunity to purchase or rior under subparagraph (E)(i), and all other or a socially disadvantaged farmer under lease the real property in accordance with income generated from the real property clause (i) shall be until the earlier of— the order of priority established under sub- transferred to the Secretary of the Interior ‘‘(I) the date that is 18 months after the paragraph (D) to the Indian tribe having ju- under that subparagraph, shall be deposited date of the lease or sale; or risdiction over the Indian reservation within as miscellaneous receipts in the Treasury of ‘‘(II) the date that direct farm ownership which the real property is located or, if no the United States until the amount depos- loan funds or credit sale authority for loans order of priority is established by the Indian ited is equal to the lesser of— becomes available to the qualified beginning tribe under subparagraph (D), in the fol- ‘‘(i) the amount of the outstanding lien of farmer or socially disadvantaged farmer. lowing order: the United States against the real property, ‘‘(iii) INCOME-PRODUCING CAPABILITY.—In ‘‘(i) An Indian member of the Indian tribe as of the date the real property was acquired determining the rental rate on real property that has jurisdiction over the reservation by the Secretary; leased under this subparagraph, the Sec- within which the real property is located. ‘‘(ii) the fair market value of the real prop- retary shall consider the income-producing ‘‘(ii) An Indian corporate entity. erty, as of the date of the transfer to the capability of the property during the term ‘‘(iii) The Indian tribe. Secretary of the Interior; or that the property is leased. ‘‘(D) REVISION OF PRIORITY AND RESTRICTION ‘‘(iii) the capitalized value of the real prop- ‘‘(5) EXPEDITED DETERMINATION.— OF ELIGIBILITY.—The governing body of any erty, as of the date of the transfer to the ‘‘(A) IN GENERAL.—On the request of an ap- Indian tribe having jurisdiction over an In- Secretary of the Interior. plicant, not later than 30 days after denial of dian reservation may revise the order of pri- ‘‘(H) HOLDING OF TITLE IN TRUST.—If the the application, the appropriate State direc- ority provided in subparagraph (C) under total amount that is required to be deposited tor shall provide an expedited review and de- which land located within the reservation under subparagraph (G) with respect to any termination of whether the applicant is a shall be offered for purchase or lease by the real property has been deposited into the qualified beginning farmer or a socially dis- Secretary under subparagraph (C) and may Treasury of the United States, title to the advantaged farmer for the purpose of acquir- restrict the eligibility for the purchase or real property shall be held in trust by the ing farm inventory property. lease to— United States for the benefit of the Indian ‘‘(B) APPEAL.—The determination of a ‘‘(i) persons who are members of the Indian tribe having jurisdiction over the Indian res- State Director under subparagraph (A) shall tribe; ervation within which the real property is be final and not administratively appealable. ‘‘(ii) Indian corporate entities that are au- located. ‘‘(C) EFFECTS OF DETERMINATIONS.— thorized by the Indian tribe to lease or pur- ‘‘(I) PAYMENT OF REMAINING LIEN OR FAIR ‘‘(i) IN GENERAL.—The Secretary shall chase land within the boundaries of the res- MARKET VALUE OF PROPERTY.— maintain statistical data on the number and ervation; or ‘‘(i) IN GENERAL.—Notwithstanding any results of determinations made under sub- ‘‘(iii) the Indian tribe itself. other subparagraph of this paragraph, the In- paragraph (A) and the effect of the deter- ‘‘(E) TRANSFER OF PROPERTY TO SECRETARY dian tribe having jurisdiction over the In- dian reservation within which the real prop- minations on— OF THE INTERIOR.— erty described in subparagraph (B) is located ‘‘(I) selling farm inventory property to ‘‘(i) IN GENERAL.—If real property described qualified beginning farmers or socially dis- in subparagraph (B) is not purchased or may, at any time after the real property has been transferred to the Secretary of the Inte- advantaged farmers; and leased under subparagraph (C) and the Indian rior under subparagraph (E), offer to pay the ‘‘(II) disposing of real property in inven- tribe having jurisdiction over the reserva- remaining amount on the lien or the fair tory. tion within which the real property is lo- market value of the real property, whichever ‘‘(ii) NOTIFICATION.—The Secretary shall cated is unable to purchase or lease the real is less. notify the Committee on Agriculture of the property, the Secretary shall transfer the House of Representatives and the Committee ‘‘(ii) EFFECT OF PAYMENT.—On payment of real property to the Secretary of the Interior the amount, title to the real property shall on Agriculture, Nutrition, and Forestry of who shall administer the real property as if the Senate if the Secretary determines that be held by the United States in trust for the the real property were held in trust by the tribe and the trust or restricted land that the review process under subparagraph (A) is United States for the benefit of the Indian adversely affecting the selling of farm inven- has been acquired by the Secretary under tribe. foreclosure or voluntary transfer under a tory property to qualified beginning farmers ‘‘(ii) USE OF RENTAL INCOME.—From the or socially disadvantaged farmers or the dis- loan made or insured under this subtitle and rental income derived from the lease of the transferred to an Indian person, entity, or posing of real property in inventory. transferred real property, and all other in- ‘‘(b) ROAD AND UTILITY EASEMENTS AND tribe under this paragraph shall be consid- come generated from the transferred real CONDEMNATIONS.—In the case of any real ered to have never lost trust or restricted property, the Secretary of the Interior shall property administered under this subtitle, status. the Secretary may grant or sell easements or pay the State, county, municipal, or other ‘‘(J) APPLICABILITY.— rights-of-way for roads, utilities, and other local taxes to which the transferred real ‘‘(i) IN GENERAL.—This paragraph shall appurtenances that are not inconsistent with property was subject at the time of acquisi- apply to all land in the land inventory estab- the public interest. tion by the Secretary, until the earlier of— lished under this subtitle (as of November 28, ‘‘(c) SALE OR LEASE OF FARMLAND.— ‘‘(I) the expiration of the 4-year period be- 1990) that was (immediately prior to the ‘‘(1) DISPOSITION OF REAL PROPERTY ON IN- ginning on the date on which the real prop- date) owned by an Indian borrower-owner de- DIAN RESERVATIONS.— erty is so transferred; or scribed in subparagraph (B) and that is situ- ‘‘(A) DEFINITION OF INDIAN RESERVATION.— ‘‘(II) such time as the land is transferred ated within an Indian reservation, regardless In this paragraph, the term ‘Indian reserva- into trust pursuant to subparagraph (H). of the date of foreclosure or acquisition by tion’ means— ‘‘(F) RESPONSIBILITIES OF SECRETARIES.—If the Secretary. ‘‘(i) all land located within the limits of any real property is transferred to the Sec- ‘‘(ii) OPPORTUNITY TO PURCHASE OR LEASE.— any Indian reservation under the jurisdiction retary of the Interior under subparagraph The Secretary shall afford an opportunity to of the United States, notwithstanding the (E)— an Indian person, entity, or tribe to purchase issuance of any patent, and, including any ‘‘(i) the Secretary of Agriculture shall have or lease the real property as provided in sub- right-of-way running through the reserva- no further responsibility under this title paragraph (C). tion; for— ‘‘(iii) TRANSFER.—If the right is not exer- ‘‘(ii) trust or restricted land located within ‘‘(I) collection of any amounts with regard cised or no expression of intent to exercise the boundaries of a former reservation of an to the farm program loan that had been se- the right is received within 180 days after Indian tribe in the State of Oklahoma; or cured by the real property; November 28, 1990, the Secretary shall trans- ‘‘(iii) all Indian allotments the Indian ti- ‘‘(II) any lien arising out of the loan trans- fer the real property to the Secretary of the tles to which have not been extinguished if action; or Interior as provided in subparagraph (E).

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‘‘(2) ADDITIONAL RIGHTS.—The rights pro- action to protect human health or the envi- considers necessary to protect the invest- vided in this subsection shall be in addition ronment if the property is taken into inven- ment of the Federal Government in the land. to any right of first refusal under the law of tory, the Secretary shall accept the vol- ‘‘(B) SALE OF CONTRACT.—The Secretary the State in which the property is located. untary conveyance of the property only if may subsequently sell any contract entered ‘‘(3) DISPOSITION OF REAL PROPERTY ON IN- the Secretary determines that the convey- into to carry out subparagraph (A). DIAN RESERVATIONS AFTER PROCEDURES EX- ance is in the best interests of the Federal ‘‘(6) HIGHLY ERODIBLE LAND.—In the case of HAUSTED.— Government. farmland administered under this title that ‘‘(A) IN GENERAL.—The Secretary shall dis- ‘‘(E) FORECLOSURE PROCEDURES.— is highly erodible land (as defined in section pose of or administer real property described ‘‘(i) NOTICE TO BORROWER.—If an Indian 1201 of the Food Security Act of 1985 (16 in paragraph (1)(B) only as provided in para- borrower-owner does not voluntarily convey U.S.C. 3801)), the Secretary may require the graph (1), as modified by this paragraph, if— to the Secretary real property described in use of specified conservation practices on the ‘‘(i) the real property described in para- subparagraph (A), not less than 30 days be- land as a condition of the sale or lease of the graph (1)(B) is located within an Indian res- fore a foreclosure sale of the property, the land. ervation; Secretary shall provide the Indian borrower- ‘‘(7) NO EFFECT ON ACREAGE ALLOTMENTS, ‘‘(ii) the borrower-owner is an Indian tribe owner with the option of— MARKETING QUOTAS, OR ACREAGE BASES.—Not- that has jurisdiction over the reservation in ‘‘(I) requiring the Secretary to assign the withstanding any other law, compliance by which the real property is located or the bor- loan and security instruments to the Sec- the Secretary with this subsection shall not rower-owner is a member of an Indian tribe; retary of the Interior, if the Secretary of the cause any acreage allotment, marketing ‘‘(iii) the borrower-owner has obtained a Interior agrees to an assignment releasing quota, or acreage base assigned to the prop- loan made or guaranteed under this title; the Secretary of Agriculture from all further erty to lapse, terminate, be reduced, or oth- and responsibility for collection of any amounts erwise be adversely affected. ‘‘(iv) the borrower-owner and the Secretary with regard to the loan secured by the real ‘‘(8) NO PREEMPTION OF STATE LAW.—If a have exhausted all of the procedures pro- property; or conflict exists between any provision of this vided for in this title to permit a borrower- ‘‘(II) requiring the Secretary to assign the subsection and any provision of the law of owner to retain title to the real property, so loan and security instruments to the tribe any State providing a right of first refusal to that it is necessary for the borrower-owner having jurisdiction over the reservation in the owner of farmland or the operator of a to relinquish title. which the real property is located, if the farm before the sale or lease of land to any ‘‘(B) NOTICE OF RIGHT TO CONVEY PROP- tribe agrees to assume the loan under the other person, the provision of State law shall ERTY.—The Secretary shall provide the bor- terms specified in clause (iii). prevail. rower-owner of real property that is de- ‘‘(ii) NOTICE TO TRIBE.—If an Indian bor- ‘‘(d) RELEASE OF NORMAL INCOME SECU- scribed in subparagraph (A) with written no- rower-owner does not voluntarily convey to RITY.— tice of— the Secretary real property described in sub- ‘‘(1) DEFINITION OF NORMAL INCOME SECU- ‘‘(i) the right of the borrower-owner to vol- paragraph (A), not less than 30 days before a RITY.—In this subsection: untarily convey the real property to the Sec- foreclosure sale of the property, the Sec- ‘‘(A) IN GENERAL.—Except as provided in retary; and retary shall provide written notice to the In- subparagraph (B), the term ‘normal income ‘‘(ii) the fact that real property so con- dian tribe that has jurisdiction over the res- security’ means all security not considered veyed will be placed in the inventory of the ervation in which the real property is lo- basic security, including crops, livestock, Secretary. cated of— poultry products, Farm Service Agency pay- ‘‘(C) NOTICE OF RIGHTS AND PROTECTIONS.— ‘‘(I) the sale; ments and Commodity Credit Corporation The Secretary shall provide the borrower- ‘‘(II) the fair market value of the property; payments, and other property covered by owner of the real property with written no- and Farm Service Agency liens that is sold in tice of the rights and protections provided ‘‘(III) the requirements of this paragraph. conjunction with the operation of a farm or under this title to the borrower-owner, and ‘‘(iii) ASSUMED LOANS.—If an Indian tribe other business. the Indian tribe that has jurisdiction over assumes a loan under clause (i)— ‘‘(B) EXCEPTIONS.—The term ‘normal in- the reservation in which the real property is ‘‘(I) the Secretary shall not foreclose the come security’ does not include any equip- located, from foreclosure or liquidation of loan because of any default that occurred ment (including fixtures in States that have the real property, including written notice— prior to the date of the assumption; adopted the Uniform Commercial Code), or ‘‘(i) of paragraph (1), this paragraph, and ‘‘(II) the loan shall be for the lesser of the foundation herd or flock, that is— subsection (e)(3); outstanding principal and interest of the ‘‘(i) the basis of the farming or other oper- ‘‘(ii) if the borrower-owner does not volun- loan or the fair market value of the prop- ation; and tarily convey the real property to the Sec- erty; and ‘‘(ii) the basic security for a farmer pro- retary, that— ‘‘(III) the loan shall be treated as though gram loan. ‘‘(I) the Secretary may foreclose on the the loan was made under Public Law 91–229 ‘‘(2) GENERAL RELEASE.—The Secretary property; (25 U.S.C. 488 et seq.). shall release from the normal income secu- ‘‘(II) in the event of foreclosure, the prop- ‘‘(F) AMOUNT OF BID BY SECRETARY.— rity provided for a loan an amount sufficient erty will be offered for sale; ‘‘(i) IN GENERAL.—Except as provided in to pay for the essential household and farm ‘‘(III) the Secretary shall offer a bid for the clause (ii), at a foreclosure sale of real prop- operating expenses of the borrower, until property that is equal to the fair market erty described in subparagraph (A), the Sec- such time as the Secretary accelerates the value of the property or the outstanding retary shall offer a bid for the property that loan. principal and interest of the loan, whichever is equal to the higher of— ‘‘(3) NOTICE OF REPORTING REQUIREMENTS is higher; ‘‘(I) the fair market value of the property; AND RIGHTS.—If a borrower is required to ‘‘(IV) the property may be purchased by or plan for or to report as to how proceeds from another party; and ‘‘(II) the outstanding principal and interest the sale of collateral property will be used, ‘‘(V) if the property is purchased by an- on the loan. the Secretary shall notify the borrower of— other party, the property will not be placed ‘‘(ii) HAZARDOUS SUBSTANCES.—If a haz- ‘‘(A) the requirement; and in the inventory of the Secretary and the ardous substance (as defined in section ‘‘(B) the right to the release of funds under borrower-owner will forfeit the rights and 101(14) of the Comprehensive Environmental this subsection and the means by which a re- protections provided under this title; and Response, Compensation, and Liability Act quest for the funds may be made. ‘‘(iii) of the opportunity of the borrower- of 1980 (42 U.S.C. 9601(14))) is located on the ‘‘(e) EASEMENTS ON INVENTORIED PROP- owner to consult with the Indian tribe that property and the Secretary takes remedial ERTY.— has jurisdiction over the reservation in action to protect human health or the envi- ‘‘(1) IN GENERAL.—Subject to paragraph (2), which the real property is located or counsel ronment if the property is taken into inven- in the disposal of real property under this to determine if State or tribal law provides tory, clause (i) shall apply only if the Sec- section, the Secretary shall establish per- rights and protections that are more bene- retary determines that bidding is in the best petual wetland conservation easements to ficial than the rights and protections pro- interests of the Federal Government. protect and restore wetland or converted vided the borrower-owner under this title. ‘‘(4) DETRIMENTAL EFFECT ON VALUE OF wetland that exists on inventoried property. ‘‘(D) ACCEPTANCE OF VOLUNTARY CONVEY- AREA FARMLAND.—The Secretary shall not ‘‘(2) LIMITATION.—The Secretary shall not ANCE.— offer for sale or sell any farmland referred to establish a wetland conservation easement ‘‘(i) IN GENERAL.—Except as provided in in paragraphs (1) through (3) if placing the on an inventoried property that— clause (ii), the Secretary shall accept the farmland on the market will have a detri- ‘‘(A) was cropland on the date the property voluntary conveyance of real property de- mental effect on the value of farmland in the entered the inventory of the Secretary; or scribed in subparagraph (A). area. ‘‘(B) was used for farming at any time dur- ‘‘(ii) HAZARDOUS SUBSTANCES.—If a haz- ‘‘(5) INSTALLMENT SALES AND MULTIPLE OP- ing the period— ardous substance (as defined in section ERATORS.— ‘‘(i) beginning on the date that is 5 years 101(14) of the Comprehensive Environmental ‘‘(A) IN GENERAL.—The Secretary may sell before the property entered the inventory of Response, Compensation, and Liability Act farmland administered under this title the Secretary; and of 1980 (42 U.S.C. 9601(14))) is located on the through an installment sale or similar device ‘‘(ii) ending on the date on which the prop- property and the Secretary takes remedial that contains such terms as the Secretary erty entered the inventory of the Secretary.

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‘‘(3) NOTIFICATION.—The Secretary shall thority provided by this section, the Sec- ‘‘(II) not essential to the operation of the provide prior written notification to a bor- retary shall consult with the Director of the farm; and rower considering homestead retention that Fish and Wildlife Service for the purposes ‘‘(III) not exempt from judgment creditors a wetland conservation easement may be of— or in a bankruptcy action under Federal or placed on land for which the borrower is ne- ‘‘(1) selecting real property in which the State law; gotiating a lease option. Secretary may enter into a contract under ‘‘(B) the estimated administrative, attor- ‘‘(4) APPRAISED VALUE.—The appraised this section; ney, and other expenses associated with the value of the farm shall reflect the value of ‘‘(2) formulating the terms and conditions liquidation and disposition of the loan and the land due to the placement of wetland of the contract; and collateral, including— conservation easements. ‘‘(3) enforcing the contract. ‘‘(i) the payment of prior liens; ‘‘SEC. 3410. CONTRACTS ON LOAN SECURITY ‘‘(f) ENFORCEMENT.—The Secretary, and ‘‘(ii) taxes and assessments, depreciation, PROPERTIES. any person or governmental entity des- management costs, the yearly percentage de- ‘‘(a) CONTRACTS ON LOAN SECURITY PROP- ignated by the Secretary, may enforce a con- crease or increase in the value of the prop- ERTIES.—Subject to subsection (b), the Sec- tract entered into by the Secretary under erty, and lost interest income, each cal- retary may enter into a contract related to this section. culated for the average holding period for real property for conservation, recreation, or ‘‘SEC. 3411. DEBT RESTRUCTURING AND LOAN the type of property involved; wildlife purposes. SERVICING. ‘‘(iii) resale expenses, such as repairs, com- ‘‘(b) LIMITATIONS.—The Secretary may ‘‘(a) IN GENERAL.—The Secretary shall missions, and advertising; and enter into a contract under subsection (a) modify a delinquent farmer program loan ‘‘(iv) other administrative and attorney if— made under this subtitle, or purchased from costs; and ‘‘(1) the property is wetland, upland, or the lender or the Federal Deposit Insurance ‘‘(C) the value, as determined by the Sec- highly erodible land; Corporation under section 3902, to the max- retary, of any property not included in sub- ‘‘(2) the property is determined by the Sec- imum extent practicable— paragraph (A)(i) if the property is specified retary to be suitable for the purpose in- ‘‘(1) to avoid a loss to the Secretary on the in any security agreement with respect to volved; and loan, with priority consideration being the loan and the Secretary determines that ‘‘(3)(A) the property secures a loan made placed on writing-down the loan principal the value of the property should be included under a law administered and held by the and interest (subject to subsections (d) and for purposes of this section. Secretary; and (e)), and debt set-aside (subject to subsection ‘‘(3) VALUE OF THE RESTRUCTURED LOAN.— ‘‘(B) the contract would better enable a (e)), to facilitate keeping the borrower on ‘‘(A) IN GENERAL.—For the purpose of para- qualified borrower to repay the loan in a the farm, or otherwise through the use of graph (1), the value of the restructured loan timely manner, as determined by the Sec- primary loan service programs under this shall be based on the present value of pay- retary. section; and ments that the borrower would make to the ‘‘(c) TERMS AND CONDITIONS.—The terms ‘‘(2) to ensure that a borrower is able to Federal Government if the terms of the loan and conditions specified in a contract under continue farming operations. were modified under any combination of pri- subsection (a) shall— ‘‘(b) ELIGIBILITY.—To be eligible to obtain mary loan service programs to ensure that ‘‘(1) specify the purposes for which the real assistance under subsection (a)— the borrower is able to meet the obligations property may be used; ‘‘(1) the delinquency shall be due to a cir- and continue farming operations. ‘‘(2) identify any conservation measure to cumstance beyond the control of the bor- ‘‘(B) PRESENT VALUE.—For the purpose of be taken, and any recreational and wildlife rower, as defined in regulations issued by the calculating the present value referred to in use to be allowed, with respect to the real Secretary, except that the regulations shall subparagraph (A), the Secretary shall use a property; and require that, if the value of the assets cal- discount rate of not more than the current ‘‘(3) require the owner to permit the Sec- culated under subsection (c)(2)(A)(ii) that rate at the time of the calculation of 90-day retary, and any person or governmental enti- may be realized through liquidation or other Treasury bills. ty designated by the Secretary, to have ac- methods would produce enough income to ‘‘(C) CASH FLOW MARGIN.—For the purpose cess to the real property for the purpose of make the delinquent loan current, the bor- of assessing under subparagraph (A) the abil- monitoring compliance with the contract. rower shall not be eligible for assistance ity of a borrower to meet debt obligations ‘‘(d) REDUCTION OR FORGIVENESS OF DEBT.— under subsection (a); and continue farming operations, the Sec- ‘‘(1) IN GENERAL.—Subject to this section, ‘‘(2) the borrower shall have acted in good retary shall assume that the borrower needs the Secretary may reduce or forgive the out- faith with the Secretary in connection with up to 110 percent of the amount indicated for standing debt of a borrower— the loan as defined in regulations issued by payment of farm operating expenses, debt ‘‘(A) in the case of a borrower to whom the the Secretary; service obligations, and family living ex- Secretary has made an outstanding loan ‘‘(3) the borrower shall present a prelimi- penses. under a law administered by the Secretary, nary plan to the Secretary that contains rea- ‘‘(4) NOTIFICATION.—Not later than 90 days by canceling that part of the aggregate sonable assumptions that demonstrate that after receipt of a written request for restruc- amount of the outstanding loan that bears the borrower will be able— turing from the borrower, the Secretary the same ratio to the aggregate amount as— ‘‘(A) to meet the necessary family living shall— ‘‘(i) the number of acres of the real prop- and farm operating expenses of the borrower; ‘‘(A) make the calculations specified in erty of the borrower that are subject to the and paragraphs (2) and (3); contract; bears to ‘‘(B) to service all debts of the borrower, ‘‘(B) notify the borrower in writing of the ‘‘(ii) the aggregate number of acres secur- including restructured loans; and results of the calculations; and ing the loan; or ‘‘(4) the loan, if restructured, shall result ‘‘(C) provide documentation for the cal- ‘‘(B) in any other case, by treating as pre- in a net recovery to the Federal Govern- culations. paid that part of the principal amount of a ment, during the term of the loan as restruc- ‘‘(5) RESTRUCTURING OF LOANS.— new loan to the borrower issued and held by tured, that would be more than or equal to ‘‘(A) IN GENERAL.—If the value of a restruc- the Secretary under a law administered by the net recovery to the Federal Government tured loan is greater than or equal to the re- the Secretary that bears the same ratio to from an involuntary liquidation or fore- covery value of the collateral securing the the principal amount as— closure on the property securing the loan. loan, not later than 45 days after notifying ‘‘(i) the number of acres of the real prop- ‘‘(c) RESTRUCTURING DETERMINATIONS.— the borrower under paragraph (4), the Sec- erty of the borrower that are subject to the ‘‘(1) DETERMINATION OF NET RECOVERY.—In retary shall offer to restructure the loan ob- contract; bears to determining the net recovery from the invol- ligations of the borrower under this subtitle ‘‘(ii) the aggregate number of acres secur- untary liquidation of a loan under this sec- through primary loan service programs that ing the new loan. tion, the Secretary shall calculate— would enable the borrower to meet the obli- ‘‘(2) MAXIMUM CANCELED AMOUNT.—The ‘‘(A) the recovery value of the collateral gations (as modified) under the loan and to amount canceled or treated as prepaid under securing the loan, in accordance with para- continue the farming operations of the bor- paragraph (1) shall not exceed— graph (2); and rower. ‘‘(A) in the case of a delinquent loan, the ‘‘(B) the value of the restructured loan, in ‘‘(B) RESTRUCTURING.—If the borrower ac- greater of— accordance with paragraph (3). cepts an offer under subparagraph (A), not ‘‘(i) the value of the land on which the con- ‘‘(2) RECOVERY VALUE.—For the purpose of later than 45 days after receipt of notice of tract is entered into; or paragraph (1), the recovery value of the col- acceptance, the Secretary shall restructure ‘‘(ii) the difference between— lateral securing the loan shall be based on the loan accordingly. ‘‘(I) the amount of the outstanding loan se- the difference between— ‘‘(6) TERMINATION OF LOAN OBLIGATIONS.— cured by the land; and ‘‘(A)(i) the amount of the current appraised The obligations of a borrower to the Sec- ‘‘(II) the value of the land; or value of the interests of the borrower in the retary under a loan shall terminate if— ‘‘(B) in the case of a nondelinquent loan, 33 property securing the loan; and ‘‘(A) the borrower satisfies the require- percent of the amount of the loan secured by ‘‘(ii) the value of the interests of the bor- ments of paragraphs (1) and (2) of subsection the land. rower in all other assets that are— (b); ‘‘(e) CONSULTATION WITH FISH AND WILD- ‘‘(I) not essential for necessary family liv- ‘‘(B) the value of the restructured loan is LIFE SERVICE.—If the Secretary uses the au- ing expenses; less than the recovery value; and

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‘‘(C) not later than 90 days after receipt of ‘‘(4) TIME OF RECAPTURE.—Recapture shall loan determined to be ineligible for restruc- the notification described in paragraph take place on the date that is the earliest turing by the Secretary under this section— (4)(B), the borrower pays (or obtains third- of— ‘‘(1) until the borrower has been given the party financing to pay) the Secretary an ‘‘(A) the end of the term of the agreement; opportunity to appeal the decision; and amount equal to the current market value. ‘‘(B) the conveyance of the real security ‘‘(2) if the borrower appeals, the appeals ‘‘(7) NEGOTIATION OF APPRAISAL.— property; process has been completed, and a deter- ‘‘(A) IN GENERAL.—In making a determina- ‘‘(C) the repayment of the loans; or mination has been made that the loan is in- tion concerning restructuring under this ‘‘(D) the cessation of farming operations by eligible for restructuring. subsection, the Secretary, at the request of the borrower. ‘‘(i) NOTICE OF INELIGIBILITY FOR RESTRUC- the borrower, shall enter into negotiations ‘‘(5) TRANSFER OF TITLE.—Transfer of title TURING.— with the borrower concerning appraisals re- to the spouse of a borrower on the death of ‘‘(1) IN GENERAL.—A notice of ineligibility quired under this subsection. the borrower shall not be treated as a con- veyance for the purpose of paragraph (4). for restructuring shall be sent to the bor- ‘‘(B) INDEPENDENT APPRAISAL.— rower by registered or certified mail not ‘‘(i) IN GENERAL.—If the borrower, based on ‘‘(6) NOTICE OF RECAPTURE.—Not later than 12 months before the end of the term of a later than 15 days after a determination of a separate current appraisal, objects to the ineligibility. decision of the Secretary regarding an ap- shared appreciation arrangement, the Sec- retary shall notify the borrower involved of ‘‘(2) CONTENTS.—The notice required under praisal, the borrower and the Secretary shall paragraph (1) shall contain— mutually agree, to the extent practicable, on the provisions of the arrangement. ‘‘(7) FINANCING OF RECAPTURE PAYMENT.— ‘‘(A) the determination and the reasons for an independent appraiser who shall conduct the determination; another appraisal of the property of the bor- ‘‘(A) IN GENERAL.—The Secretary may am- ortize a recapture payment owed to the Sec- ‘‘(B) the computations used to make the rower. retary under this subsection. determination, including the calculation of ‘‘(ii) VALUE OF FINAL APPRAISAL.—The av- ‘‘(B) TERM.—The term of an amortization the recovery value of the collateral securing erage of the 2 appraisals under clause (i) that under this paragraph may not exceed 25 the loan; and are closest in value shall become the final years. ‘‘(C) a statement of the right of the bor- appraisal under this paragraph. ‘‘(C) INTEREST RATE.—The interest rate ap- rower to appeal the decision to the appeals ‘‘(iii) COST OF APPRAISAL.—The borrower plicable to an amortization under this para- division, and to appear before a hearing offi- and the Secretary shall each pay 1⁄2 of the graph may not exceed the rate applicable to cer. cost of any independent appraisal. a loan to reacquire homestead property less ‘‘(j) INDEPENDENT APPRAISALS.— ‘‘(d) PRINCIPAL AND INTEREST WRITE- 100 basis points. ‘‘(1) IN GENERAL.—An appeal may include a DOWN.— ‘‘(D) REAMORTIZATION.— request by the borrower for an independent ‘‘(1) IN GENERAL.— ‘‘(i) IN GENERAL.—The Secretary may mod- appraisal of any property securing the loan. ‘‘(A) PRIORITY CONSIDERATION.—In selecting ify the amortization of a recapture payment ‘‘(2) PROCESS FOR APPRAISAL.—On a request the restructuring alternatives to be used in referred to in subparagraph (A) of this para- under paragraph (1), the Secretary shall the case of a borrower who has requested re- graph on which a payment has become delin- present the borrower with a list of 3 apprais- structuring under this section, the Secretary quent if— ers approved by the county supervisor, from shall give priority consideration to the use ‘‘(I) the default is due to circumstances be- which the borrower shall select an appraiser of a principal and interest write-down if yond the control of the borrower; and to conduct the appraisal. other creditors of the borrower (other than ‘‘(II) the borrower acted in good faith (as ‘‘(3) COST.—The cost of an appraisal under any creditor who is fully collateralized) rep- determined by the Secretary) in attempting this subsection shall be paid by the bor- resenting a substantial portion of the total to repay the recapture amount. rower. debt of the borrower held by the creditors of ‘‘(ii) LIMITATIONS.— ‘‘(4) RESULT.—The result of an appraisal the borrower, agree to participate in the de- ‘‘(I) TERM OF REAMORTIZATION.—The term under this subsection shall be considered in velopment of the restructuring plan or agree of a reamortization under this subparagraph any final determination concerning the loan. to participate in a State mediation program. may not exceed 25 years from the date of the ‘‘(5) COPY.—A copy of any appraisal under ‘‘(B) FAILURE OF CREDITORS TO AGREE.— original amortization agreement. this subsection shall be provided to the bor- Failure of creditors to agree to participate in ‘‘(II) NO REDUCTION OR PRINCIPAL OR UNPAID rower. the restructuring plan or mediation program INTEREST DUE.—A reamortization of a recap- shall not preclude the use of a principal and ture payment under this subparagraph may ‘‘(k) PARTIAL LIQUIDATIONS.—If a partial interest write-down by the Secretary if the not provide for reducing the outstanding liquidation of a delinquent loan is performed Secretary determines that restructuring re- principal or unpaid interest due on the re- (with the prior consent of the Secretary) as sults in the least cost to the Secretary. capture payment. part of loan servicing by a guaranteed lender ‘‘(2) PARTICIPATION OF CREDITORS.—Before ‘‘(f) INTEREST RATES.—Any loan for farm under this title, the Secretary shall not re- eliminating the option to use debt write- ownership purposes, farm operating pur- quire full liquidation of the loan for the lend- down in the case of a borrower, the Sec- poses, or disaster emergency purposes, other er to be eligible to receive payment on retary shall make a reasonable effort to con- than a guaranteed loan, that is deferred, con- losses. tact the creditors of the borrower, either di- solidated, rescheduled, or reamortized shall, rectly or through the borrower, and encour- notwithstanding any other provision of this ‘‘(l) ONLY 1 WRITE-DOWN OR NET RECOVERY age the creditors to participate with the Sec- subtitle, bear interest on the balance of the BUY-OUT PER BORROWER FOR A LOAN MADE retary in the development of a restructuring original loan and for the term of the original AFTER JANUARY 6, 1988.— plan for the borrower. loan at a rate that is the lowest of— ‘‘(1) IN GENERAL.—The Secretary may pro- ‘‘(1) the rate of interest on the original vide for each borrower not more than 1 ‘‘(e) SHARED APPRECIATION ARRANGE- loan; write-down or net recovery buy-out under MENTS.— ‘‘(2) the rate being charged by the Sec- this section with respect to all loans made to ‘‘(1) IN GENERAL.—As a condition of re- retary for loans, other than guaranteed the borrower after January 6, 1988. structuring a loan in accordance with this loans, of the same type at the time at which ‘‘(2) SPECIAL RULE.—For purposes of para- section, the borrower of the loan may be re- the borrower applies for a deferral, consoli- graph (1), the Secretary shall treat any loan quired to enter into a shared appreciation ar- dation, rescheduling, or reamortization; or made on or before January 6, 1988, with re- rangement that requires the repayment of ‘‘(3) the rate being charged by the Sec- spect to which a restructuring, write-down, amounts written off or set aside. retary for loans, other than guaranteed or net recovery buy-out is provided under ‘‘(2) TERMS.—A shared appreciation agree- loans, of the same type at the time of the de- this section after January 6, 1988, as a loan ment shall— ferral, consolidation, rescheduling, or re- made after January 6, 1988. ‘‘(A) have a term not to exceed 10 years; amortization. ‘‘(m) LIQUIDATION OF ASSETS.—The Sec- and ‘‘(g) PERIOD AND EFFECT.— retary may not use the authority provided ‘‘(B) provide for recapture based on the dif- ‘‘(1) PERIOD.—The Secretary may consoli- ference between the appraised values of the date or reschedule outstanding loans for pay- by this section to reduce or terminate any real security property at the time of restruc- ment over a period not to exceed 7 years (or, portion of the debt of the borrower that the turing and at the time of recapture. in the case of loans for farm operating pur- borrower could pay through the liquidation ‘‘(3) PERCENTAGE OF RECAPTURE.—The poses, 15 years) from the date of the consoli- of assets (or through the payment of the loan amount of the appreciation to be recaptured dation or rescheduling. value of the assets, if the loan value is great- by the Secretary shall be— ‘‘(2) EFFECT.—The amount of unpaid prin- er than the liquidation value) described in ‘‘(A) 75 percent of the appreciation in the cipal and interest of the prior loans so con- subsection (c)(2)(A)(ii). value of the real security property if the re- solidated or rescheduled shall not create a ‘‘(n) LIFETIME LIMITATION ON DEBT FOR- capture occurs not later than 4 years after new charge against any loan levels author- the date of restructuring; and ized by law. GIVENESS PER BORROWER.—The Secretary ‘‘(B) 50 percent if the recapture occurs dur- ‘‘(h) PREREQUISITES TO FORECLOSURE OR may provide each borrower not more than ing the remainder of the term of the agree- LIQUIDATION.—No foreclosure or other simi- $300,000 in debt forgiveness under this sec- ment. lar action shall be taken to liquidate any tion.

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‘‘SEC. 3412. RELIEF FOR MOBILIZED MILITARY ‘‘(1) IN GENERAL.—Subject to paragraph (2), loan made by the Secretary or the Adminis- RESERVISTS FROM CERTAIN AGRI- in return for a contract entered into by a trator shall— CULTURAL LOAN OBLIGATIONS. lender under subsection (b) for the reduction ‘‘(A) apply for the occupancy not later ‘‘(a) DEFINITION OF MOBILIZED MILITARY RE- of the interest rate paid on a loan, the Sec- than 30 days after the property is acquired SERVIST.—In this section, the term ‘mobi- retary shall make payments to the lender in by the Secretary or Administrator; lized military reservist’ means an individual an amount equal to not more than 100 per- ‘‘(B) have received from farming oper- who— cent of the cost of reducing the annual rate ations gross farm income that is reasonably ‘‘(1) is on active duty under section 688, of interest payable on the loan. commensurate with— 12301(a), 12301(g), 12302, 12304, 12306, or 12406, ‘‘(2) LIMITATION.—Payments under para- ‘‘(i) the size and location of the farming or chapter 15 of title 10, United States Code, graph (1) may not exceed the cost of reducing unit of the borrower-owner; and or any other provision of law during a war or the rate by more than 400 basis points. ‘‘(ii) local agricultural conditions (includ- during a national emergency declared by the ‘‘(d) TERM.—The term of a contract entered President or Congress, regardless of the loca- ing natural and economic conditions), during into under this section to reduce the interest at least 2 calendar years of the 6-year period tion at which the active duty service is per- rate on a guaranteed loan may not exceed formed; or preceding the calendar year in which the ap- the outstanding term of the loan. plication is made; ‘‘(2) in the case of a member of the Na- ‘‘(e) CONDITION ON FORECLOSURE.—Notwith- tional Guard, is on full-time National Guard ‘‘(C) have received from farming operations standing any other law, any contract of at least 60 percent of the gross annual in- duty (as defined in section 101(d)(5) of title guarantee on a farm loan entered into under 10, United States Code) under a call to active come of the borrower-owner and any spouse this subtitle shall contain a condition that of the borrower-owner during at least 2 cal- service authorized by the President or the the lender of the loan may not initiate a Secretary of Defense for a period of more endar years of the 6-year period described in foreclosure action on the loan until 60 days subparagraph (B); than 30 consecutive days under section 502(f) after a determination is made with respect ‘‘(D) have continuously occupied the home- of title 32, United States Code, for purposes to the eligibility of the borrower to partici- stead property during the 6-year period de- of responding to a national emergency de- pate in the program established under this scribed in subparagraph (B), except that the clared by the President and supported by section. Federal funds. requirement of this subparagraph may be ‘‘SEC. 3414. HOMESTEAD PROPERTY. ‘‘(b) FORGIVENESS OF INTEREST PAYMENTS waived if a borrower-owner, due to cir- DUE WHILE BORROWER ISAMOBILIZED MILI- ‘‘(a) DEFINITIONS.—In this section: cumstances beyond the control of the bor- TARY RESERVIST.—Any requirement that a ‘‘(1) ADMINISTRATOR.—The term ‘Adminis- rower-owner, had to leave the homestead borrower of a direct loan made under this trator’ means the Administrator of the property for a period of time not to exceed 12 subtitle make any interest payment on the Small Business Administration. months during the 6-year period; loan that would otherwise be required to be ‘‘(2) BORROWER-OWNER.—The term ‘bor- ‘‘(E) during the period of occupancy of the made while the borrower is a mobilized mili- rower-owner’ means— homestead property, pay a reasonable sum as tary reservist is rescinded. ‘‘(A) a borrower-owner of a loan made or rent for the property to the Secretary or the ‘‘(c) DEFERRAL OF PRINCIPAL PAYMENTS guaranteed by the Secretary or the Adminis- Administrator in an amount substantially DUE WHILE OR AFTER BORROWER ISAMOBI- trator who meets the eligibility require- equivalent to rents charged for similar resi- LIZED MILITARY RESERVIST.—The due date of ments of subsection (c)(1); or dential properties in the area in which the any payment of principal on a direct loan ‘‘(B) in a case in which an owner of home- homestead property is located; made to a borrower under this subtitle that stead property pledged the property to se- ‘‘(F) during the period of the occupancy of would otherwise be required to be made cure the loan and the owner is different than the homestead property, maintain the prop- while or after the borrower is a mobilized the borrower, the owner. erty in good condition; and military reservist is deferred for a period ‘‘(3) FARM PROGRAM LOAN.—The term ‘farm ‘‘(G) meet such other reasonable and nec- program loan’ means a loan made by the Ad- equal in length to the period for which the essary terms and conditions as the Secretary ministrator under the Small Business Act (15 borrower is a mobilized military reservist. may require. U.S.C. 631 et seq.) for any of the purposes au- ‘‘(d) NONACCRUAL OF INTEREST.—Interest on ‘‘(2) DEFINITION OF FARMING OPERATIONS.— thorized for loans under chapter 1 or 2. a direct loan made to a borrower described in In subparagraphs (B) and (C) of paragraph ‘‘(4) HOMESTEAD PROPERTY.—The term this section shall not accrue during the pe- (1), the term ‘farming operations’ includes ‘homestead property’ means— riod the borrower is a mobilized military re- rent paid by a lessee of agricultural land dur- ‘‘(A) the principal residence and adjoining servist. ing a period in which the borrower-owner, property possessed and occupied by a bor- ‘‘(e) BORROWER NOT CONSIDERED TO BE DE- due to circumstances beyond the control of rower-owner, including a reasonable number LINQUENT OR RECEIVING DEBT FORGIVENESS.— the borrower-owner, is unable to actively of farm outbuildings located on the adjoin- Notwithstanding section 3425 or any other farm the land. provision of this title, a borrower who re- ing land that are useful to any occupant of ‘‘(3) TERMINATION OF RIGHTS.— ceives assistance under this section shall the homestead; and ‘‘(A) IN GENERAL.—For purposes of para- not, as a result of the assistance, be consid- ‘‘(B) not more than 10 acres of adjoining graph (1)(E), the failure of the borrower- ered to be delinquent or receiving debt for- land that is used to maintain the family of owner to make a timely rental payment giveness for purposes of receiving a direct or the borrower-owner. shall constitute cause for the termination of guaranteed loan under this subtitle. ‘‘(b) RETENTION OF HOMESTEAD PROPERTY.— ‘‘(1) IN GENERAL.—The Secretary or the Ad- all rights of the borrower-owner to posses- ‘‘SEC. 3413. INTEREST RATE REDUCTION PRO- sion and occupancy of the homestead prop- GRAM. ministrator shall, on application by a bor- erty under this section. ‘‘(a) ESTABLISHMENT OF PROGRAM.—The rower-owner who meets the eligibility re- ‘‘(B) PROCEDURE FOR TERMINATION.—In ef- Secretary shall establish and carry out in ac- quirements of subsection (c)(1), permit the fecting a termination under subparagraph cordance with this section an interest rate borrower-owner to retain possession and oc- reduction program for any loan guaranteed cupancy of homestead property under the (A), the Secretary shall— under this subtitle. terms set forth, and until the action de- ‘‘(i) afford the borrower-owner or lessee the ‘‘(b) ENTERING INTO CONTRACTS.—The Sec- scribed in this section has been completed, notice and hearing procedural rights de- retary shall enter into a contract with, and if— scribed in subtitle H of the Department of make payments to, an institution to reduce, ‘‘(A) the Secretary forecloses or takes into Agriculture Reorganization Act of 1994 (7 during the term of the contract, the interest inventory property securing a loan made U.S.C. 6991 et seq.); and rate paid by the borrower on the guaranteed under this subtitle; ‘‘(ii) comply with any applicable State and loan if— ‘‘(B) the Administrator forecloses or takes local law governing eviction of a person from ‘‘(1) the borrower— into inventory property securing a farm pro- residential property. ‘‘(A) is unable to obtain credit elsewhere; gram loan made under the Small Business ‘‘(4) RIGHTS OF BORROWER-OWNER.— ‘‘(B) is unable to make payments on the Act (15 U.S.C. 631 et seq.); or ‘‘(A) PERIOD OF OCCUPANCY.—Subject to loan in a timely manner; and ‘‘(C) the borrower-owner of a loan made by subsection (b)(2), the period of occupancy al- ‘‘(C) during the 24-month period beginning the Secretary or the Administrator files a lowed the borrower-owner of homestead on the date on which the contract is entered petition in bankruptcy that results in the property under this section shall be the pe- into, has a total estimated cash income, in- conveyance of the homestead property to the riod requested in writing by the borrower- cluding all farm and nonfarm income, that Secretary or the Administrator, or agrees to owner. will equal or exceed the total estimated cash voluntarily liquidate or convey the property ‘‘(B) RIGHT TO REACQUIRE.— expenses, including all farm and nonfarm ex- in whole or in part. ‘‘(i) IN GENERAL.—During the period the penses, to be incurred by the borrower dur- ‘‘(2) PERIOD OF OCCUPANCY.—Subject to sub- borrower-owner occupies the homestead ing the period; and section (c), the Secretary or the Adminis- property, the borrower-owner shall have a ‘‘(2) during the term of the contract, the trator shall not grant a period of occupancy right to reacquire the homestead property on lender reduces the annual rate of interest of less than 3 nor more than 5 years. such terms and conditions as the Secretary payable on the loan by a minimum percent- ‘‘(c) ELIGIBILITY.— shall determine. age specified in the contract. ‘‘(1) IN GENERAL.—To be eligible to occupy ‘‘(ii) SOCIALLY DISADVANTAGED BORROWER- ‘‘(c) PAYMENTS.— homestead property, a borrower-owner of a OWNER.—During the period of occupancy of a

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borrower-owner who is a socially disadvan- ‘‘SEC. 3415. TRANSFER OF INVENTORY LAND. ‘‘(2) RESERVATION AND ALLOCATION.— taged farmer, the borrower-owner or a mem- ‘‘(a) IN GENERAL.—Subject to subsection ‘‘(A) IN GENERAL.—To the maximum extent ber of the immediate family of the borrower- (b), the Secretary may transfer to a Federal practicable, the Secretary shall reserve and owner shall have a right of first refusal to re- or State agency, for conservation purposes, allocate the proportion of the loan funds of acquire the homestead property on such any real property, or interest in real prop- each State made available under chapter 2 terms and conditions as the Secretary shall erty, administered by the Secretary under that is equal to the target participation rate determine. this subtitle— of the State for use by the socially disadvan- ‘‘(iii) INDEPENDENT APPRAISAL.—The Sec- ‘‘(1) with respect to which the rights of all taged farmers in the State. retary may not demand a payment for the prior owners and operators have expired; ‘‘(B) DISTRIBUTION.—To the maximum ex- homestead property that is in excess of the ‘‘(2) that is eligible to be disposed of in ac- tent practicable, the Secretary shall dis- current market value of the homestead prop- cordance with section 3409; and tribute the total loan funds reserved under erty as established by an independent ap- ‘‘(3) that— subparagraph (A) on a county-by-county praisal. ‘‘(A) has marginal value for agricultural basis according to the number of socially dis- ‘‘(iv) CONDUCT OF APPRAISAL.—An inde- production; advantaged farmers in the county. pendent appraisal under clause (iii) shall be ‘‘(B) is environmentally sensitive; or ‘‘(C) REALLOCATION OF UNUSED FUNDS.—Any conducted by an appraiser selected by the ‘‘(C) has special management importance. funds reserved and allocated under this para- ONDITIONS.—The Secretary may not borrower-owner, or, in the case of a bor- ‘‘(b) C graph but not used within a State shall, to transfer any property or interest in property rower-owner who is a socially disadvantaged the extent necessary to satisfy pending ap- under subsection (a) unless— farmer, the immediate family member of the plications under this title, be available for ‘‘(1) at least 2 public notices are given of borrower-owner, from a list of 3 appraisers use by socially disadvantaged farmers in the transfer; approved by the county supervisor. other States, as determined by the Sec- ‘‘(2) if requested, at least 1 public meeting ‘‘(5) TRANSFER OF RIGHTS.— retary, and any remaining funds shall be re- is held prior to the transfer; and ‘‘(A) IN GENERAL.—Except as provided in allocated within the State. ‘‘(3) the Governor and at least 1 elected subparagraph (B), no right of a borrower- county official of the State and county in ‘‘(d) REPORT.—The Secretary shall prepare owner under this section, and no agreement which the property is located are consulted and submit to the Committee on Agriculture entered into between the borrower-owner prior to the transfer. of the House of Representatives and the and the Secretary for occupancy of the Committee on Agriculture, Nutrition, and ‘‘SEC. 3416. TARGET PARTICIPATION RATES. homestead property, shall be transferable or Forestry of the Senate a report that de- ‘‘(a) ESTABLISHMENT.— assignable by the borrower-owner or by oper- scribes the annual target participation rates ‘‘(1) IN GENERAL.—The Secretary shall es- ation of law. tablish annual target participation rates, on and the success in meeting the rates. ‘‘(B) DEATH OR INCOMPETENCY.—In the case a county-wide basis, that shall ensure that ‘‘(e) IMPLEMENTATION CONSISTENT WITH SU- of death or incompetency of the borrower- members of socially disadvantaged groups PREME COURT HOLDING.—Not later than 180 owner, the right and agreement shall be shall— days after April 4, 1996, the Secretary shall transferable to a spouse of the borrower- ‘‘(A) receive loans made or guaranteed ensure that the implementation of this sec- owner if the spouse agrees to comply with under chapter 1; and tion is consistent with the holding of the Su- any terms and conditions of the right or ‘‘(B) have the opportunity to purchase or preme Court in Adarand Constructors, Inc. v. agreement. lease farmland acquired by the Secretary Federico Pena, Secretary of Transportation, ‘‘(6) NOTIFICATION.—Not later than the date under this subtitle. 115 S. Ct. 2097 (1995). of acquisition of the property securing a loan ‘‘(2) GROUP POPULATION.—Except as pro- ‘‘SEC. 3417. COMPROMISE OR ADJUSTMENT OF made under this title, the Secretary shall vided in paragraph (3), in establishing the DEBTS OR CLAIMS BY GUARANTEED notify the borrower-owner of the property of LENDER. target rates, the Secretary shall take into the availability of homestead protection consideration— ‘‘(a) LOSS BY LENDER.—If the lender of a rights under this section. ‘‘(A) the portion of the population of the guaranteed farmer program loan takes any ‘‘(d) END OF PERIOD OF OCCUPANCY.— county made up of the socially disadvan- action described in section 3903(a)(4) with re- ‘‘(1) IN GENERAL.—At the end of the period taged groups; and spect to the loan and the Secretary approves of occupancy allowed a borrower-owner ‘‘(B) the availability of inventory farmland the action, for purposes of the guarantee, the under subsection (c), the Secretary or the in the county. lender shall be treated as having sustained a Administrator shall grant to the borrower- loss equal to the amount by which— ‘‘(3) GENDER.—In the case of gender, target owner a right of first refusal to reacquire the participation rates shall take into consider- ‘‘(1) the outstanding balance of the loan homestead property on such terms and con- ation the number of current and potential immediately before the action; exceeds ditions (which may include payment of prin- socially disadvantaged farmers in a State in ‘‘(2) the outstanding balance of the loan cipal in installments) as the Secretary or the proportion to the total number of farmers in immediately after the action. Administrator shall determine. the State. ‘‘(b) NET PRESENT VALUE OF LOAN.—The ‘‘(2) TERMS AND CONDITIONS.—The terms ‘‘(b) RESERVATION AND ALLOCATION.— Secretary shall approve the taking of an ac- and conditions granted under paragraph (1) ‘‘(1) RESERVATION.—To the maximum ex- tion described in section 3903(a)(4) by the may not be less favorable than those offered tent practicable, the Secretary shall reserve lender of a guaranteed farmer program loan by the Secretary or Administrator or in- sufficient loan funds made available under with respect to the loan if the action reduces tended by the Secretary or Administrator to chapter 1 for use by members of socially dis- the net present value of the loan to an be offered to any other buyer. advantaged groups identified under target amount equal to not less than the greater ‘‘(e) MAXIMUM PAYMENT OF PRINCIPAL.— participation rates established under sub- of— ‘‘(1) IN GENERAL.—At the time a reacquisi- section (a). ‘‘(1) the greatest net present value of a tion agreement is entered into, the Sec- ‘‘(2) ALLOCATION.—The Secretary shall al- loan the borrower could reasonably be ex- retary or the Administrator may not demand locate the loans on the basis of the propor- pected to repay; and a total payment of principal that is in excess tion of members of socially disadvantaged ‘‘(2) the difference between— of the value of the homestead property. groups in a county and the availability of in- ‘‘(A) the greatest amount that the lender ‘‘(2) DETERMINATION OF VALUE.—To the ventory farmland, with the greatest amount of the loan could reasonably expect to re- maximum extent practicable, the value of of loan funds being distributed in the county cover from the borrower through bank- the homestead property shall be determined with the greatest proportion of socially dis- ruptcy, or liquidation of the property secur- by an independent appraisal made during the advantaged group members and the greatest ing the loan; and 180 day period beginning on the date of re- quantity of available inventory farmland. ‘‘(B) all reasonable and necessary costs and ceipt of the application of the borrower- ‘‘(3) INDIAN RESERVATIONS.—In distributing expenses that the lender of the loan could owner to retain possession and occupancy of loan funds in counties within the boundaries reasonably expect to incur to preserve or dis- the homestead property. of an Indian reservation, the Secretary shall pose of the property (including all associated ‘‘(f) TITLE NOT NEEDED TO ENTER INTO CON- allocate the funds on a reservation-wide legal and property management costs) in the TRACTS.—The Secretary may enter into a basis. course of such a bankruptcy or liquidation. contract authorized by this section before ‘‘(c) OPERATING LOANS.— ‘‘(c) NO LIMITATION ON AUTHORITY.—This the Secretary acquires title to the home- ‘‘(1) ESTABLISHMENT.— section shall not limit the authority of the stead property that is the subject of the con- ‘‘(A) IN GENERAL.—The Secretary shall es- Secretary to enter into a shared appreciation tract. tablish annual target participation rates arrangement with a borrower under section ‘‘(g) STATE LAW PREVAILS.—In the event of that shall ensure that socially disadvantaged 3411(e). a conflict between this section and a provi- farmers receive loans made or guaranteed ‘‘SEC. 3418. WAIVER OF MEDIATION RIGHTS BY sion of State law relating to the right of a under chapter 2. BORROWERS. borrower-owner to designate for separate ‘‘(B) CONSIDERATIONS.—In establishing the ‘‘The Secretary may not make or guar- sale or redeem part or all of the real prop- target rates, the Secretary shall consider the antee any farmer program loan to a farm erty securing a loan foreclosed on by a lend- number of socially disadvantaged farmers in borrower on the condition that the borrower er to the borrower-owner, the provision of a State in proportion to the total number of waive any right under the mediation pro- State law shall prevail. farmers in the State. gram of any State.

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‘‘SEC. 3419. BORROWER TRAINING. ‘‘(1) IN GENERAL.—Loan assessments con- ‘‘(2) EXCEPTIONS.— ‘‘(a) IN GENERAL.—The Secretary shall con- ducted under this section shall include bian- ‘‘(A) IN GENERAL.—The Secretary may tract to provide educational training to all nual review of direct loans, and periodic re- make a direct or guaranteed farm operating borrowers of direct loans made under this view (as determined necessary by the Sec- loan for paying annual farm operating ex- subtitle in financial and farm management retary) of guaranteed loans, made under this penses of a borrower who— concepts associated with commercial farm- title to assess the progress of a borrower in ‘‘(i) was restructured with a write-down ing. meeting the goals for the farm operation. under section 3411; ‘‘(b) CONTRACT.— ‘‘(2) CONTRACTS.—The Secretary may con- ‘‘(ii) is current on payments under a con- ‘‘(1) IN GENERAL.—The Secretary may con- tract with an entity that is eligible to pro- firmed reorganization plan under chapters 1 tract with a State or private provider of vide borrower training under section 3419(b) 11, 12, or 13 of title 11 of the United States farm management and credit counseling to conduct a loan review under paragraph (1). Code; or services (including a community college, the ‘‘(3) PROBLEM ASSESSMENTS.—If a borrower ‘‘(iii) received debt forgiveness on not more extension service of a State, a State depart- is delinquent in payments on a direct or than 1 occasion resulting directly and pri- ment of agriculture, or a nonprofit organiza- guaranteed loan made under this title, the marily from a major disaster or emergency tion) to carry out this section. Secretary or the contracting entity shall de- designated by the President on or after April ‘‘(2) CONSULTATION.—The Secretary may termine the cause of, and action necessary to 4, 1996, under the Robert T. Stafford Disaster consult with the chief executive officer of a correct, the delinquency. Relief and Emergency Assistance Act (42 State concerning the identity of the con- ‘‘(e) GUIDELINES.—The Secretary shall U.S.C. 5121 et seq.). tracting organization and the process for issue regulations providing guidelines for ‘‘(B) EMERGENCY LOANS.—The Secretary contracting. loan assessments conducted under this sec- may make an emergency loan under section ‘‘(c) ELIGIBILITY FOR LOANS.— tion. 3301 to a borrower that— ‘‘(1) IN GENERAL.—Subject to paragraph (2), ‘‘SEC. 3421. SUPERVISED CREDIT. ‘‘(i) on or before April 4, 1996, received not to be eligible to obtain a direct or guaran- ‘‘The Secretary shall provide adequate more than 1 debt forgiveness on a loan made teed loan under this subtitle, a borrower training to employees of the Farm Service or guaranteed under this subtitle; and shall be required to obtain management as- Agency on credit analysis and financial and ‘‘(ii) after April 4, 1996, has not received sistance under this section, appropriate to farm management— debt forgiveness on a loan made or guaran- the management ability of the borrower dur- ‘‘(1) to better acquaint the employees with teed under this subtitle. ing the determination of eligibility for the what constitutes adequate financial data on ‘‘(c) NO MORE THAN 1 DEBT FORGIVENESS loan. which to base a direct or guaranteed loan ap- FOR A BORROWER ON A DIRECT LOAN.—The ‘‘(2) LOAN CONDITIONS.—The need of a bor- proval decision; and Secretary may not provide to a borrower rower who satisfies the criteria set out in ‘‘(2) to ensure proper supervision of farmer debt forgiveness on a direct loan made under section 3101(b)(1)(B) or 3201(b)(1)(B) for man- program loans. this subtitle if the borrower has received agement assistance under this section shall ‘‘SEC. 3422. MARKET PLACEMENT. debt forgiveness on another direct loan made not be cause for denial of eligibility of the ‘‘The Secretary shall establish a market under this subtitle. borrower for a direct or guaranteed loan placement program for a qualified beginning ‘‘SEC. 3426. SHORT FORM CERTIFICATION OF under this subtitle. farmer and any other borrower of farmer FARM PROGRAM BORROWER COM- PLIANCE. ‘‘(d) GUIDELINES AND CURRICULUM.—The program loans that the Secretary believes ‘‘The Secretary shall develop and use a Secretary shall issue regulations estab- has a reasonable chance of qualifying for lishing guidelines and curriculum for the consolidated short form for farmer program commercial credit with a guarantee provided loan borrowers to use in certifying compli- borrower training program established under under this subtitle. this section. ance with any applicable provision of law ‘‘SEC. 3423. RECORDKEEPING OF LOANS BY GEN- (including a regulation) that serves as an eli- ‘‘(e) PAYMENT.—A borrower— DER OF BORROWER. ‘‘(1) shall pay for training received under gibility prerequisite for a loan made under ‘‘The Secretary shall classify, by gender, this subtitle. this section; and records of applicants for loans and loan guar- ‘‘(2) may use funds from operating loans ‘‘SEC. 3427. UNDERWRITING FORMS AND STAND- antees under this subtitle. ARDS. made under chapter 2 to pay for the training. ‘‘SEC. 3424. CROP INSURANCE REQUIREMENT. ‘‘In the administration of this subtitle, the ‘‘(f) WAIVERS.— ‘‘(a) IN GENERAL.—As a condition of obtain- Secretary shall, to the extent practicable, ‘‘(1) IN GENERAL.—The Secretary may ing any benefit (including a direct loan, loan use underwriting forms, standards, practices, waive the requirements of this section for an guarantee, or payment) described in sub- and terminology similar to the forms, stand- individual borrower on a determination that section (b), a borrower shall be required to ards, practices, and terminology used by the borrower demonstrates adequate knowl- obtain at least catastrophic risk protection lenders in the private sector. edge in areas described in this section. insurance coverage under section 508 of the ‘‘SEC. 3428. BEGINNING FARMER INDIVIDUAL DE- RITERIA ‘‘(2) C .—The Secretary shall estab- Federal Crop Insurance Act (7 U.S.C. 1508) for VELOPMENT ACCOUNTS PILOT PRO- lish criteria providing for the application of the crop and crop year for which the benefit GRAM. paragraph (1) consistently in all counties na- is sought, if the coverage is offered by the ‘‘(a) DEFINITIONS.—In this section: tionwide. Federal Crop Insurance Corporation. ‘‘(1) DEMONSTRATION PROGRAM.—The term ‘‘SEC. 3420. LOAN ASSESSMENTS. ‘‘(b) APPLICABLE BENEFITS.—Subsection (a) ‘demonstration program’ means a dem- ‘‘(a) IN GENERAL.—After an applicant is de- shall apply to— onstration program carried out by a quali- termined to be eligible for assistance under ‘‘(1) a farm ownership loan under section fied entity under the pilot program estab- this subtitle, the Secretary shall evaluate, in 3102; lished in subsection (b)(1). accordance with regulations issued by the ‘‘(2) an operating loan under section 3202; ‘‘(2) ELIGIBLE PARTICIPANT.—The term ‘eli- Secretary, the farming plan and financial and gible participant’ means a qualified begin- situation of each qualified farmer applicant. ‘‘(3) an emergency loan under section 3301. ning farmer that— ‘‘(b) DETERMINATIONS.—In evaluating the ‘‘SEC. 3425. LOAN AND LOAN SERVICING LIMITA- ‘‘(A) lacks significant financial resources farming plan and financial situation of an TIONS. or assets; and applicant under this section, the Secretary ‘‘(a) DELINQUENT BORROWERS PROHIBITED ‘‘(B) has an income that is less than— shall determine— FROM OBTAINING DIRECT OPERATING LOANS.— ‘‘(i) 80 percent of the median income of the ‘‘(1) the amount that the applicant needs The Secretary may not make a direct oper- State in which the farmer resides; or to borrow to carry out the proposed farming ating loan under chapter 2 to a borrower who ‘‘(ii) 200 percent of the most recent annual plan; is delinquent on any loan made or guaran- Federal Poverty Income Guidelines pub- ‘‘(2) the rate of interest that the applicant teed under this subtitle. lished by the Department of Health and would need to be able to cover expenses and ‘‘(b) LOANS PROHIBITED FOR BORROWERS Human Services for the State. build an adequate equity base; THAT HAVE RECEIVED DEBT FORGIVENESS.— ‘‘(3) INDIVIDUAL DEVELOPMENT ACCOUNT.— ‘‘(3) the goals of the proposed farming plan ‘‘(1) PROHIBITIONS.—Except as provided in The term ‘individual development account’ of the applicant; paragraph (2)— means a savings account described in sub- ‘‘(4) the financial viability of the plan and ‘‘(A) the Secretary may not make a loan section (b)(4)(A). any changes that are necessary to make the under this subtitle to a borrower that has re- ‘‘(4) QUALIFIED ENTITY.— plan viable; and ceived debt forgiveness on a loan made or ‘‘(A) IN GENERAL.—The term ‘qualified en- ‘‘(5) whether assistance is necessary under guaranteed under this subtitle; and tity’ means— this title and, if so, the amount of the assist- ‘‘(B) the Secretary may not guarantee a ‘‘(i) 1 or more organizations— ance. loan under this subtitle to a borrower that ‘‘(I) described in section 501(c)(3) of the In- ‘‘(c) CONTRACT.—The Secretary may con- has received— ternal Revenue Code of 1986; and tract with a third party (including an entity ‘‘(i) debt forgiveness after April 4, 1996, on ‘‘(II) exempt from taxation under section that is eligible to provide borrower training a loan made or guaranteed under this sub- 501(a) of such Code; or under section 3419(b)) to conduct a loan as- title; or ‘‘(ii) a State, local, or tribal government sessment under this section. ‘‘(ii) received debt forgiveness on more submitting an application jointly with an or- ‘‘(d) REVIEW OF LOANS.— than 3 occasions on or before April 4, 1996. ganization described in clause (i).

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‘‘(B) NO PROHIBITION ON COLLABORATION.— ‘‘(III) to complete financial training; and give preference to an application from a An organization described in subparagraph ‘‘(ii) the qualified entity agrees— qualified entity that demonstrates— (A)(i) may collaborate with a financial insti- ‘‘(I) to deposit, not later than 1 month ‘‘(A) a track record of serving clients tar- tution or for-profit community development after an amount is deposited pursuant to geted by the program, including, as appro- corporation to carry out the purposes of this clause (i)(I), at least a 100-percent, and up to priate, socially disadvantaged farmers; and section. a 200-percent, match of that amount into the ‘‘(B) expertise in dealing with financial ‘‘(b) PILOT PROGRAM.— individual development account established management aspects of farming. ‘‘(1) IN GENERAL.—The Secretary shall es- for the eligible participant; and ‘‘(4) APPROVAL.—Not later than 1 year after tablish a pilot program to be known as the ‘‘(II) with uses of funds proposed by the eli- the date of enactment of this section, in ac- ‘New Farmer Individual Development Ac- gible participant. cordance with this section, the Secretary counts Pilot Program’ under which the Sec- ‘‘(C) LIMITATION.— shall, on a competitive basis, approve such retary shall work through qualified entities ‘‘(i) IN GENERAL.—A qualified entity admin- applications to conduct demonstration pro- to establish demonstration programs— istering a demonstration program under this grams as the Secretary considers appro- ‘‘(A) of at least 5 years in duration; and section may provide not more than $6,000 for priate. ‘‘(B) in at least 15 States. each fiscal year in matching funds to the in- ‘‘(5) TERM OF AUTHORITY.—If the Secretary ‘‘(2) COORDINATION.—The Secretary shall dividual development account established by approves an application to carry out a dem- operate the pilot program through and in co- the qualified entity for an eligible partici- onstration program, the Secretary shall au- ordination with the farmer program loans of pant. thorize the applicant to carry out the project the Farm Service Agency. ‘‘(ii) TREATMENT OF AMOUNT.—An amount for a period of 5 years, plus an additional 2 ‘‘(3) RESERVE FUNDS.— provided under clause (i) shall not be consid- years to make eligible expenditures in ac- ‘‘(A) IN GENERAL.—A qualified entity car- ered to be a gift or loan for mortgage pur- cordance with subsection (b)(5)(B). rying out a demonstration program under poses. ‘‘(d) GRANT AUTHORITY.— this section shall establish a reserve fund ‘‘(5) ELIGIBLE EXPENDITURES.— ‘‘(1) IN GENERAL.—The Secretary shall consisting of a non-Federal match of 50 per- ‘‘(A) IN GENERAL.—An eligible expenditure make a grant to a qualified entity author- cent of the total amount of the grant award- described in this subparagraph is an expendi- ized to carry out a demonstration program ed to the demonstration program under this ture— under this section. section. ‘‘(i) to purchase farmland or make a down ‘‘(2) MAXIMUM AMOUNT OF GRANTS.—The ag- ‘‘(B) FEDERAL FUNDS.—After the qualified payment on an accepted purchase offer for gregate amount of grant funds provided to a entity has deposited the non-Federal match- farmland; demonstration program carried out under ing funds described in subparagraph (A) in ‘‘(ii) to make mortgage payments on farm- this section shall not exceed $250,000. the reserve fund, the Secretary shall provide land purchased pursuant to clause (i), for up ‘‘(3) TIMING OF GRANT PAYMENTS.—The Sec- the total amount of the grant awarded under to 180 days after the date of the purchase; retary shall pay the amounts awarded under this section to the demonstration program ‘‘(iii) to purchase breeding stock, fruit or a grant made under this section— for deposit in the reserve fund. nut trees, or trees to harvest for timber; and ‘‘(A) on the awarding of the grant; or ‘‘(C) USE OF FUNDS.—Of the funds deposited ‘‘(iv) for other similar expenditures, as de- ‘‘(B) pursuant to such payment plan as the under subparagraph (B) in the reserve fund termined by the Secretary. qualified entity may specify. established for a demonstration program, the ‘‘(B) TIMING.— ‘‘(e) REPORTS.— qualified entity carrying out the demonstra- ‘‘(i) IN GENERAL.—An eligible participant tion program— may make an eligible expenditure at any ‘‘(1) ANNUAL PROGRESS REPORTS.— ‘‘(i) may use up to 10 percent for adminis- time during the 2-year period beginning on ‘‘(A) IN GENERAL.—Not later than 60 days trative expenses; and the date on which the last matching funds after the end of the calendar year in which ‘‘(ii) shall use the remainder in making are provided under paragraph (4)(B)(ii)(I) to the Secretary authorizes a qualified entity matching awards described in paragraph the individual development account estab- to carry out a demonstration program under (4)(B)(ii)(I). lished for the eligible participant. this section, and annually thereafter until ‘‘(D) INTEREST.—Any interest earned on ‘‘(ii) UNEXPENDED FUNDS.—At the end of the conclusion of the demonstration pro- amounts in a reserve fund established under the period described in clause (i), any funds gram, the qualified entity shall prepare an subparagraph (A) may be used by the quali- remaining in an individual development ac- annual report that includes, for the period fied entity as additional matching funds for, count established for an eligible participant covered by the report— or to administer, the demonstration pro- shall revert to the reserve fund of the dem- ‘‘(i) an evaluation of the progress of the gram. onstration program under which the account demonstration program; ‘‘(E) GUIDANCE.—The Secretary shall issue was established. ‘‘(ii) information about the demonstration guidance regarding the investment require- ‘‘(c) APPLICATIONS.— program, including the eligible participants ments of reserve funds established under this ‘‘(1) IN GENERAL.—A qualified entity that and the individual development accounts paragraph. seeks to carry out a demonstration program that have been established; and ‘‘(F) REVERSION.—On the date on which all under this section may submit to the Sec- ‘‘(iii) such other information as the Sec- funds remaining in any individual develop- retary an application at such time, in such retary may require. ment account established by a qualified enti- form, and containing such information as ‘‘(B) SUBMISSION OF REPORTS.—A qualified ty have reverted under paragraph (5)(B)(ii) to the Secretary may prescribe. entity shall submit each report required the reserve fund established by the qualified ‘‘(2) CRITERIA.—In considering whether to under subparagraph (A) to the Secretary. entity, there shall revert to the Treasury of approve an application to carry out a dem- ‘‘(2) REPORTS BY THE SECRETARY.—Not later the United States a percentage of the onstration program under this section, the than 1 year after the date on which all dem- amount (if any) in the reserve fund equal Secretary shall assess— onstration programs under this section are to— ‘‘(A) the degree to which the demonstra- concluded, the Secretary shall submit to ‘‘(i) the amount of Federal funds deposited tion program described in the application is Congress a final report that describes the re- in the reserve fund under subparagraph (B) likely to aid eligible participants in success- sults and findings of all reports and evalua- that were not used for administrative ex- fully pursuing new farming opportunities; tions carried out under this section. penses; divided by ‘‘(B) the experience and ability of the ‘‘(f) ANNUAL REVIEW.—The Secretary may ‘‘(ii) the total amount of funds deposited in qualified entity to responsibly administer conduct an annual review of the financial the reserve fund. the demonstration program; records of a qualified entity— ‘‘(4) INDIVIDUAL DEVELOPMENT ACCOUNTS.— ‘‘(C) the experience and ability of the ‘‘(1) to assess the financial soundness of ‘‘(A) IN GENERAL.—A qualified entity re- qualified entity in recruiting, educating, and the qualified entity; and ceiving a grant under this section shall es- assisting eligible participants to increase ‘‘(2) to determine the use of grant funds tablish and administer individual develop- economic independence and pursue or ad- made available to the qualified entity under ment accounts for eligible participants. vance farming opportunities; this section. ‘‘(B) CONTRACT REQUIREMENTS.—To be eligi- ‘‘(D) the aggregate amount of direct funds ‘‘(g) REGULATIONS.—In carrying out this ble to receive funds under this section from from non-Federal public sector and private section, the Secretary may promulgate regu- a qualified entity, an eligible participant sources that are formally committed to the lations to ensure that the program includes shall enter into a contract with only 1 quali- demonstration program as matching con- provisions for— fied entity under which— tributions; ‘‘(1) the termination of demonstration pro- ‘‘(i) the eligible participant agrees— ‘‘(E) the adequacy of the plan of the quali- grams; ‘‘(I) to deposit a certain amount of funds of fied entity to provide information relevant ‘‘(2) control of the reserve funds in the case the eligible participant in a personal savings to an evaluation of the demonstration pro- of such a termination; account, as prescribed by the contractual gram; and ‘‘(3) transfer of demonstration programs to agreement between the eligible participant ‘‘(F) such other factors as the Secretary other qualified entities; and and the qualified entity; considers to be appropriate. ‘‘(4) remissions from a reserve fund to the ‘‘(II) to use the funds described in sub- ‘‘(3) PREFERENCES.—In considering an ap- Secretary in a case in which a demonstration clause (I) only for 1 or more eligible expendi- plication to conduct a demonstration pro- program is terminated without transfer to a tures described in paragraph (5)(A); and gram under this section, the Secretary shall new qualified entity.

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‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(iii) FUNDS RESERVED UNTIL APRIL 1.— time the requests for authorizations for There is authorized to be appropriated to Funds reserved for qualified beginning farm- those periods are submitted to Congress. carry out this section $5,000,000 for each of ers under this subparagraph for a fiscal year ‘‘(c) LOW-INCOME, LIMITED-RESOURCE BOR- fiscal years 2012 through 2017. shall be reserved only until April 1 of the fis- ROWERS.— ‘‘SEC. 3429. FARMER LOAN PILOT PROJECTS. cal year. ‘‘(1) RESERVE.—Notwithstanding any other ‘‘(a) IN GENERAL.—The Secretary may con- ‘‘(C) RESERVED FUNDS FOR ALL QUALIFIED provision of law, not less than 25 percent of duct pilot projects of limited scope and dura- BEGINNING FARMERS.—If a qualified beginning the loans for farm ownership purposes for tion that are consistent with this subtitle to farmer meets the eligibility criteria for re- each fiscal year under this subtitle shall be evaluate processes and techniques that may ceiving a direct or guaranteed loan under for low-income, limited-resource borrowers. improve the efficiency and effectiveness of section 3101, 3107, or 3201, the Secretary shall ‘‘(2) NOTIFICATION.—The Secretary shall the programs carried out under this subtitle make or guarantee the loan if sufficient provide notification to farm borrowers under ‘‘(b) NOTIFICATION.—The Secretary shall— funds reserved under this paragraph are this subtitle in the normal course of loan ‘‘(1) not less than 60 days before the date available to make or guarantee the loan. making and loan servicing operations, of the on which the Secretary initiates a pilot ‘‘(3) TRANSFER FOR DOWN PAYMENT LOANS.— provisions of this subtitle relating to low-in- project under subsection (a), submit notice ‘‘(A) IN GENERAL.—Subject to subparagraph come, limited-resource borrowers and the of the proposed pilot project to the Com- (B)— procedures by which persons may apply for mittee on Agriculture of the House of Rep- ‘‘(i) beginning on August 1 of each fiscal loans under the low-income, limited-resource resentatives and the Committee on Agri- year, the Secretary shall use available un- borrower program.’’. subsidized guaranteed farm operating loan culture, Nutrition, and Forestry of the Sen- Subtitle B—Miscellaneous funds to provide direct farm ownership loans ate; and SEC. 5101. STATE AGRICULTURAL MEDIATION ‘‘(2) consider any recommendations or approved by the Secretary to qualified begin- ning farmers under the down payment loan PROGRAMS. feedback provided to the Secretary in re- program established under section 3107, if Section 506 of the Agricultural Credit Act sponse to the notice provided under para- sufficient direct farm ownership loan funds of 1987 (7 U.S.C. 5106) is amended by striking graph (1). are not otherwise available; and ‘‘2015’’ and inserting ‘‘2017’’. ‘‘SEC. 3430. AUTHORIZATION OF APPROPRIA- ‘‘(ii) beginning on September 1 of each fis- SEC. 5102. LOANS TO PURCHASERS OF HIGHLY TIONS AND ALLOCATION OF FUNDS. cal year, the Secretary shall use available FRACTIONATED LAND. ‘‘(a) AUTHORIZATION FOR LOANS.— unsubsidized guaranteed farm operating loan The first section of Public Law 91–229 (25 ‘‘(1) IN GENERAL.—The Secretary may make funds to provide direct farm ownership loans U.S.C. 488) is amended in subsection (b)(1) by or guarantee loans under chapters 1 and 2 approved by the Secretary to qualified begin- inserting ‘‘or to intermediaries in order to from the Agricultural Credit Insurance Fund ning farmers, if sufficient direct farm owner- establish revolving loan funds for the pur- for not more than $4,226,000,000 for each of ship loan funds are not otherwise available. chase of highly fractionated land under that fiscal years 2012 through 2017, of which, for ‘‘(B) LIMITATION.—The Secretary shall section’’ before the period at the end. each fiscal year— limit the transfer of funds under subpara- SEC. 5103. REMOVAL OF DUPLICATIVE APPRAIS- ‘‘(A) $1,200,000,000 shall be for direct loans, graph (A) so that all guaranteed farm oper- ALS. of which— ating loans that have been approved, or will Notwithstanding any other law (including ‘‘(i) $350,000,000 shall be for farm ownership be approved, by the Secretary during the fis- regulations), in making loans under the first loans; and cal year will be made to the extent of avail- section of Public Law 91–229 (25 U.S.C. 488), ‘‘(ii) $850,000,000 shall be for operating able amounts. borrowers who are Indian tribes, members of loans; and ‘‘(4) TRANSFER FOR CREDIT SALES OF FARM Indian tribes, or tribal corporations shall ‘‘(B) $3,026,000,000 shall be for guaranteed INVENTORY PROPERTY.— only be required to obtain 1 appraisal under loans, of which— ‘‘(A) IN GENERAL.—Subject to subpara- an appraisal standard recognized as of the ‘‘(i) $1,000,000,000 shall be for guarantees of graphs (B) and (C), beginning on September 1 date of enactment of this Act by the Sec- farm ownership loans; and of each fiscal year, the Secretary may use retary or the Secretary of the Interior. ‘‘(ii) $2,026,000,000 shall be for guarantees of available funds made available under chapter TITLE VI—RURAL DEVELOPMENT operating loans. 3 for the fiscal year to fund the credit sale of Subtitle A—Reorganization of the Consoli- ‘‘(2) BEGINNING FARMERS.— farm real estate in the inventory of the Sec- dated Farm and Rural Development Act ‘‘(A) DIRECT LOANS.— retary. ‘‘(i) FARM OWNERSHIP LOANS.— ‘‘(B) SUPPLEMENTAL APPROPRIATIONS.—The SEC. 6001. REORGANIZATION OF THE CONSOLI- ‘‘(I) IN GENERAL.—Of the amounts made transfer authority provided under subpara- DATED FARM AND RURAL DEVELOP- available under paragraph (1) for direct farm graph (A) shall not apply to any funds made MENT ACT. ownership loans, the Secretary shall reserve available to the Secretary for any fiscal year Title III of the Agricultural Act of 1961 (7 an amount that is not less than 75 percent of under an Act making supplemental appro- U.S.C. 1921 et seq.) is amended to read as fol- the total amount for qualified beginning priations. lows: farmers. ‘‘(C) LIMITATION.—The Secretary shall ‘‘TITLE III—AGRICULTURAL CREDIT ‘‘(II) DOWN PAYMENT LOANS; JOINT FINANC- limit the transfer of funds under subpara- ‘‘SEC. 3001. SHORT TITLE; TABLE OF CONTENTS. ING ARRANGEMENTS.—Of the amounts re- graph (A) so that all emergency disaster ‘‘(a) SHORT TITLE.—This title may be cited served for a fiscal year under subclause (I), loans that have been approved, or will be ap- as the ‘Consolidated Farm and Rural Devel- the Secretary shall reserve an amount not proved, by the Secretary during the fiscal opment Act’. 2 less than ⁄3 of the amount for the down pay- year will be made to the extent of available ‘‘(b) TABLE OF CONTENTS.—The table of ment loan program under section 3107 and amounts. contents of this title is as follows: joint financing arrangements under section ‘‘(5) AVAILABILITY OF FUNDS.—Funds made ‘‘TITLE III—AGRICULTURAL CREDIT 3105 until April 1 of the fiscal year. available to carry out this subtitle shall re- ‘‘(ii) OPERATING LOANS.—Of the amounts main available until expended. ‘‘Sec. 3001. Short title; table of contents. made available under paragraph (1) for direct ‘‘(b) COST PROJECTIONS.— ‘‘Sec. 3002. Definitions. operating loans, the Secretary shall reserve ‘‘(1) IN GENERAL.—The Secretary shall de- ‘‘Subtitle A—Farmer Loans, Servicing, and for qualified beginning farmers for each of velop long-term cost projections for loan Other Assistance fiscal years 2012 through 2017, an amount program authorizations required under sub- ‘‘CHAPTER 1—FARM OWNERSHIP LOANS that is not less than 50 percent of the total section (a). ‘‘Sec. 3101. Farm ownership loans. amount. ‘‘(2) ANALYSIS.—Each projection under ‘‘Sec. 3102. Purposes of loans. ‘‘(iii) FUNDS RESERVED UNTIL SEPTEMBER paragraph (1) shall include analyses of— ‘‘Sec. 3103. Conservation loan and loan guar- 1.—Except as provided in clause (i)(II), funds ‘‘(A) the long-term costs of the lending lev- antee program. reserved for qualified beginning farmers els that the Secretary requests to be author- ‘‘Sec. 3104. Loan maximums. under this subparagraph for a fiscal year ized under subsection (a); and ‘‘Sec. 3105. Repayment requirements for shall be reserved only until September 1 of ‘‘(B) the long-term costs for increases in farm ownership loans. the fiscal year. lending levels beyond those requested to be ‘‘Sec. 3106. Limited-resource loans. ‘‘(B) GUARANTEED LOANS.— authorized, based on increments of $10,000,000 ‘‘Sec. 3107. Downpayment loan program. ‘‘(i) FARM OWNERSHIP LOANS.—Of the or such other levels as the Secretary con- ‘‘Sec. 3108. Beginning farmer and socially amounts made available under paragraph (1) siders appropriate. disadvantaged farmer contract for guarantees of farm ownership loans, the ‘‘(3) SUBMISSION TO CONGRESS.—The Sec- land sales program. Secretary shall reserve an amount that is retary shall submit to the Committees on ‘‘CHAPTER 2—OPERATING LOANS not less than 40 percent of the total amount Agriculture and Appropriations of the House for qualified beginning farmers. of Representatives and the Committees on ‘‘Sec. 3201. Operating loans. ‘‘Sec. 3202. Purposes of loans. ‘‘(ii) OPERATING LOANS.—Of the amounts Agriculture, Nutrition, and Forestry and Ap- made available under paragraph (1) for guar- propriations of the Senate reports con- ‘‘Sec. 3203. Restrictions on loans. ‘‘Sec. 3204. Terms of loans. antees of operating loans, the Secretary taining the long-term cost projections for shall reserve 40 percent for qualified begin- the 3-year period beginning with fiscal year ‘‘CHAPTER 3—EMERGENCY LOANS ning farmers. 1983 and each 3-year period thereafter at the ‘‘Sec. 3301. Emergency loans.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00121 Fmt 4624 Sfmt 0655 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4052 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘Sec. 3302. Purposes of loans. ‘‘Sec. 3804. Supplements to Federal grant ‘‘(A) a lender approved prior to October 28, ‘‘Sec. 3303. Terms of loans. programs. 1992, by the Secretary under the approved ‘‘Sec. 3304. Production losses. ‘‘Sec. 3805. Local development districts; cer- lender program established by exhibit A to ‘‘CHAPTER 4—GENERAL FARMER LOAN tification and administrative subpart B of part 1980 of title 7, Code of Fed- PROVISIONS expenses. eral Regulations (as in effect on January 1, ‘‘Sec. 3401. Agricultural Credit Insurance ‘‘Sec. 3806. Distressed counties and areas 1991); or Fund. and nondistressed counties. ‘‘(B) a lender certified under section 3909. ‘‘Sec. 3402. Guaranteed farmer loans. ‘‘Sec. 3807. Development planning process. ‘‘(4) AQUACULTURE.—The term ‘aqua- ‘‘Sec. 3403. Provision of information to bor- ‘‘Sec. 3808. Program development criteria. culture’ means the culture or husbandry of rowers. ‘‘Sec. 3809. Approval of development plans aquatic animals or plants by private indus- ‘‘Sec. 3404. Notice of loan service programs. and projects. try for commercial purposes, including the ‘‘Sec. 3405. Planting and production history ‘‘Sec. 3810. Consent of States. culture and growing of fish by private indus- guidelines. ‘‘Sec. 3811. Records. try for the purpose of creating or aug- ‘‘Sec. 3406. Special conditions and limita- ‘‘Sec. 3812. Annual report. menting publicly owned and regulated stocks tions on loans. ‘‘Sec. 3813. Authorization of appropriations. of fish. ‘‘Sec. 3407. Graduation of borrowers. ‘‘Sec. 3814. Termination of authority. ‘‘(5) BEGINNING FARMER.—The term ‘begin- ‘‘Sec. 3408. Debt adjustment and credit coun- ‘‘CHAPTER 5—NORTHERN GREAT PLAINS ning farmer’ has the meaning given the term seling. REGIONAL AUTHORITY by the Secretary. ‘‘Sec. 3409. Security servicing. ‘‘Sec. 3821. Definitions. ‘‘(6) BORROWER.— ‘‘Sec. 3410. Contracts on loan security prop- ‘‘Sec. 3822. Northern Great Plains Regional ‘‘(A) IN GENERAL.—Except as provided in erties. Authority. subparagraph (B), the term ‘borrower’ means ‘‘Sec. 3411. Debt restructuring and loan serv- ‘‘Sec. 3823. Interstate cooperation for eco- an individual or entity who has an out- icing. nomic opportunity and effi- standing obligation to the Secretary under ‘‘Sec. 3412. Relief for mobilized military re- ciency. any loan made or guaranteed under this servists from certain agricul- ‘‘Sec. 3824. Economic and community devel- title, without regard to whether the loan has tural loan obligations. opment grants. been accelerated. ‘‘Sec. 3413. Interest rate reduction program. ‘‘Sec. 3825. Supplements to Federal grant ‘‘(B) EXCLUSIONS.—The term ‘borrower’ does not include an individual or entity all ‘‘Sec. 3414. Homestead property. programs. ‘‘Sec. 3415. Transfer of inventory land. ‘‘Sec. 3826. Multistate and local develop- of whose loans and accounts have been fore- closed on or liquidated, voluntarily or other- ‘‘Sec. 3416. Target participation rates. ment districts and organiza- wise. ‘‘Sec. 3417. Compromise or adjustment of tions and Northern Great ‘‘(7) COUNTY COMMITTEE.—The term ‘county debts or claims by guaranteed Plains Inc. committee’ means the appropriate county lender. ‘‘Sec. 3827. Distressed counties and areas committee established under section 8(b)(5) ‘‘Sec. 3418. Waiver of mediation rights by and nondistressed counties. of the Soil Conservation and Domestic Allot- borrowers. ‘‘Sec. 3828. Development planning process. ment Act (16 U.S.C. 590h(b)(5)). ‘‘Sec. 3419. Borrower training. ‘‘Sec. 3829. Program development criteria. ‘‘Sec. 3420. Loan assessments. ‘‘Sec. 3830. Approval of development plans ‘‘(8) DEBT FORGIVENESS.— ‘‘(A) IN GENERAL.—Except as provided in ‘‘Sec. 3421. Supervised credit. and projects. ‘‘Sec. 3422. Market placement. ‘‘Sec. 3831. Consent of States. subparagraph (B), the term ‘debt forgiveness’ ‘‘Sec. 3423. Recordkeeping of loans by gender ‘‘Sec. 3832. Records. means reducing or terminating a loan made of borrower. ‘‘Sec. 3833. Annual report. or guaranteed under this title, in a manner ‘‘Sec. 3424. Crop insurance requirement. ‘‘Sec. 3834. Authorization of appropriations. that results in a loss to the Secretary, ‘‘Sec. 3425. Loan and loan servicing limita- ‘‘Sec. 3835. Termination of authority. through— tions. ‘‘(i) writing down or writing off a loan ‘‘Subtitle C—General Provisions ‘‘Sec. 3426. Short form certification of farm under section 3411; program borrower compliance. ‘‘Sec. 3901. Full faith and credit. ‘‘(ii) compromising, adjusting, reducing, or ‘‘Sec. 3427. Underwriting forms and stand- ‘‘Sec. 3902. Purchase and sale of guaranteed charging-off a debt or claim under section ards. portions of loans. 3903; ‘‘Sec. 3428. Beginning farmer individual de- ‘‘Sec. 3903. Administration. ‘‘(iii) paying a loss on a guaranteed loan velopment accounts pilot pro- ‘‘Sec. 3904. Loan moratorium and policy on under this title; or gram. foreclosures. ‘‘(iv) discharging a debt as a result of ‘‘Sec. 3429. Farmer loan pilot projects. ‘‘Sec. 3905. Oil and gas royalty payments on bankruptcy. ‘‘Sec. 3430. Authorization of appropriations loans. ‘‘(B) LOAN RESTRUCTURING.—The term ‘debt and allocation of funds. ‘‘Sec. 3906. Taxation. forgiveness’ does not include consolidation, ‘‘Sec. 3907. Conflicts of interest. ‘‘Subtitle B—Rural Development rescheduling, reamortization, or deferral. ‘‘Sec. 3908. Loan summary statements. ‘‘(9) DEPARTMENT.—The term ‘Department’ ‘‘CHAPTER 1—RURAL COMMUNITY PROGRAMS ‘‘Sec. 3909. Certified lenders program. means the Department of Agriculture. ‘‘Sec. 3501. Water and waste disposal loans, ‘‘Sec. 3910. Loans to resident aliens. ‘‘(10) DIRECT LOAN.—The term ‘direct loan’ loan guarantees, and grants. ‘‘Sec. 3911. Expedited clearing of title to in- means a loan made by the Secretary from ‘‘Sec. 3502. Community facilities loans, loan ventory property. appropriated funds. guarantees, and grants. ‘‘Sec. 3912. Prohibition on use of loans for ‘‘(11) ENTITY.—The term ‘entity’ means a ‘‘Sec. 3503. Health care services. certain purposes. corporation, farm cooperative, partnership, ‘‘CHAPTER 2—RURAL BUSINESS AND ‘‘Sec. 3913. Transfer of land to Secretary. joint operation, governmental entity, or COOPERATIVE DEVELOPMENT ‘‘Sec. 3914. Competitive sourcing limita- other legal organization, as determined by tions. ‘‘Sec. 3601. Business programs. the Secretary. ‘‘Sec. 3915. Regulations. ‘‘Sec. 3602. Rural business investment pro- ‘‘(12) FARM.—The term ‘farm’ means an op- gram. ‘‘SEC. 3002. DEFINITIONS. eration involved in— ‘‘In this title (unless the context otherwise ‘‘(A) the production of an agricultural ‘‘CHAPTER 3—GENERAL RURAL DEVELOPMENT requires): commodity; PROVISIONS ‘‘(1) ABLE TO OBTAIN CREDIT ELSEWHERE.— ‘‘(B) ranching; or ‘‘Sec. 3701. General provisions for loans and The term ‘able to obtain credit elsewhere’ ‘‘(C) aquaculture. grants. means able to obtain a loan from a produc- ‘‘(13) FARMER.—The term ‘farmer’ means ‘‘Sec. 3702. Strategic economic and commu- tion credit association, a Federal land bank, an individual or entity engaged primarily nity development. or other responsible cooperative or private and directly in— ‘‘Sec. 3703. Guaranteed rural development credit source (or, in the case of a borrower ‘‘(A) the production of an agricultural loans. under section 3106, the borrower may be able commodity; ‘‘Sec. 3704. Rural Development Insurance to obtain a loan under section 3101) at rea- ‘‘(B) ranching; or Fund. sonable rates and terms, taking into consid- ‘‘(C) aquaculture. ‘‘Sec. 3705. Rural economic area partnership eration prevailing private and cooperative ‘‘(14) FARMER PROGRAM LOAN.—The term zones. rates and terms in the community in or near ‘farmer program loan’ means— ‘‘Sec. 3706. Streamlining applications and which the applicant resides for loans for ‘‘(A) a farm ownership loan under section improving accessibility of rural similar purposes and periods of time. 3101; development programs. ‘‘(2) AGRICULTURAL CREDIT INSURANCE ‘‘(B) a conservation loan under section ‘‘CHAPTER 4—DELTA REGIONAL AUTHORITY FUND.—The term ‘Agricultural Credit Insur- 3103; ‘‘Sec. 3801. Definitions. ance Fund’ means the fund established under ‘‘(C) an operating loan under section 3201; ‘‘Sec. 3802. Delta Regional Authority. section 3401. ‘‘(D) an emergency loan under section 3301; ‘‘Sec. 3803. Economic and community devel- ‘‘(3) APPROVED LENDER.—The term ‘ap- ‘‘(E) an economic emergency loan under opment grants. proved lender’ means— section 202 of the Emergency Agricultural

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Credit Adjustment Act of 1978 (7 U.S.C. prec. ‘‘(26) QUALIFIED BEGINNING FARMER.—The ‘‘(ii) any urbanized area contiguous and ad- 1961 note; Public Law 95-334); term ‘qualified beginning farmer’ means an jacent to a city or town described in clause ‘‘(F) a loan for a farm service building applicant, regardless of whether the appli- (i). under section 502 of the Housing Act of 1949 cant is participating in a program under sec- ‘‘(B) DETERMINATION OF AREAS RURAL IN (42 U.S.C. 1472); tion 3107, who— CHARACTER.— ‘‘(G) an economic opportunity loan under ‘‘(A) is eligible for assistance under this ‘‘(i) IN GENERAL.—If part of an area de- section 602 of the Economic Opportunity Act title; scribed in subparagraph (A)(ii) was eligible of 1964 (Public Law 88–452; 42 U.S.C. 2942 ‘‘(B) has not operated a farm, or has oper- under the definitions of the terms ‘rural’ and note) (as it existed before the amendment ated a farm for not more than 10 years; ‘rural area’ in section 343 (as in effect on the made by section 683(a) of the Omnibus Budg- ‘‘(C) in the case of a cooperative, corpora- day before the date of enactment of the Agri- et Reconciliation Act of 1981 (Public Law 97– tion, partnership, or joint operation, has culture Reform, Food, and Jobs Act of 2012) 35; 95 Stat. 519)); members, stockholders, partners, or joint op- for community facility, water and waste dis- ‘‘(H) a softwood timber loan under section erators who are all related to each other by posal, and broadband programs, that area 608 of the Agricultural Programs Adjustment blood or marriage; shall remain eligible unless the Secretary, Act of 1984 (7 U.S.C. 1981 note; Public Law 98– ‘‘(D) in the case of a farmer who is the acting through the Under Secretary for 258); or Rural Development (referred to in this sub- ‘‘(I) any other loan described in section owner and operator of a farm— ‘‘(i) in the case of a loan made to an indi- paragraph as the ‘Under Secretary’), deter- 343(a)(10) of this title (as it existed before the mines the area is no longer rural, based on amendment made by section 2 of the Agri- vidual, individually or with the immediate the criteria described in clause (iii). culture Reform, Food, and Jobs Act of 2012) family of the applicant— ‘‘(ii) OTHER AREAS.—On petition of a unit that is outstanding on the date of enactment ‘‘(I) materially and substantially partici- of local government in an urbanized area de- of that Act. pates in the operation of the farm; and scribed in subparagraph (A)(ii), or on the ini- ‘‘(15) FARM SERVICE AGENCY.—The term ‘‘(II) provides substantial day-to-day labor tiative of the Under Secretary, the Under ‘Farm Service Agency’ means the offices of and management of the farm, consistent Secretary may determine that part of an the Farm Service Agency to which the Sec- with the practices in the State or county in retary delegates responsibility to carry out which the farm is located; or area is rural, based on the criteria described this title. ‘‘(ii)(I) in the case of a loan made to a co- in clause (iii). ‘‘(iii) CRITERIA.—In making a determina- ‘‘(16) GOVERNMENTAL ENTITY.—The term operative, corporation, partnership, or joint ‘governmental entity’ means any agency of operation, has members, stockholders, part- tion under clause (i), the Under Secretary the United States, a State, or a unit of local ners, or joint operators who materially and shall consider— government of a State, or subdivision there- substantially participate in the operation of ‘‘(I) population density; of. the farm; and ‘‘(II) economic conditions, favoring a rural ‘‘(17) GUARANTEE.—The term ‘guarantee’ ‘‘(II) in the case of a loan made to a cor- determination for areas facing— means guaranteeing the payment of a loan poration, has stockholders who all qualify ‘‘(aa) chronic unemployment in excess of originated, held, and serviced by a private fi- individually as beginning farmers; statewide averages; nancial agency, or lender, approved by the ‘‘(E) in the case of an applicant seeking to ‘‘(bb) sudden loss of employment from nat- Secretary. become an owner and operator of a farm— ural disaster or the loss of a significant em- ‘‘(18) HIGHLY ERODIBLE LAND.—The term ‘‘(i) in the case of a loan made to an indi- ployer in the area; or ‘highly erodible land’ has the meaning given vidual, individually or with the immediate ‘‘(cc) chronic poverty demonstrated at the the term in section 1201(a) of the Food Secu- family of the applicant, will— census block or county level compared to rity Act of 1985 (16 U.S.C. 3801(a)). ‘‘(I) materially and substantially partici- statewide median household income; and ‘‘(19) HOMESTEAD RETENTION.—The term pate in the operation of the farm; and ‘‘(III) commuting patterns, favoring a rural determination for areas that can dem- ‘homestead retention’ means homestead re- ‘‘(II) provide substantial day-to-day labor onstrate higher proportions of the popu- tention as authorized under section 3414. and management of the farm, consistent lation living and working in the area. ‘‘(20) INDIAN TRIBE.—The term ‘Indian with the practices in the State or county in ‘‘(iv) ADMINISTRATION.—In carrying out tribe’ means a Federal and State-recognized which the farm is located; or this subparagraph, the Under Secretary Indian tribe or other federally recognized In- ‘‘(ii)(I) in the case of a loan made to a co- shall— dian tribal group (including a Tribal College operative, corporation, partnership, or joint ‘‘(I) not delegate the authority to carry or University, as defined in section 316(b) of operation, will have members, stockholders, out this subparagraph; the Higher Education Act of 1965 (20 U.S.C. partners, or joint operators who will materi- ‘‘(II) not make a determination under 1059c(b)). ally and substantially participate in the op- ‘‘(21) LOAN SERVICE PROGRAM.—The term clause (i) until the date that is 3 years after eration of the farm; and ‘loan service program’ means, with respect the date of enactment of the Agriculture Re- ‘‘(II) in the case of a loan made to a cor- to a farmer program loan borrower, a pri- form, Food, and Jobs Act of 2012; poration, has stockholders who will all qual- mary loan service program or a homestead ‘‘(III) consult with the applicable rural de- ify individually as beginning farmers; retention program. velopment State or regional director of the ‘‘(F) agrees to participate in such loan as- ‘‘(22) NATURAL OR MAJOR DISASTER OR EMER- Department and the Governor of the respec- sessment, borrower training, and financial GENCY.—The term ‘natural or major disaster tive State; or emergency’ means— management programs as the Secretary may ‘‘(IV) provide an opportunity to appeal to ‘‘(A) a disaster due to nonmanmade causes require; the Under Secretary a determination made declared by the Secretary; or ‘‘(G)(i) does not own farm land; or under this subparagraph; ‘‘(B) a major disaster or emergency des- ‘‘(ii) directly or through interests in family ‘‘(V) release to the public notice of a peti- ignated by the President under the Robert T. farm corporations, owns farm land, the ag- tion filed or initiative of the Under Sec- Stafford Disaster Relief and Emergency As- gregate acreage of which does not exceed 30 retary under this subparagraph not later sistance Act (42 U.S.C. 5121 et seq.). percent of the average acreage of the farms, than 30 days after receipt of the petition or ‘‘(23) PRIMARY LOAN SERVICE PROGRAM.— as the case may be, in the county in which the commencement of the initiative, as ap- The term ‘primary loan service program’ the farm operations of the applicant are lo- propriate; means, with respect to a farmer program cated, as reported in the most recent census ‘‘(VI) make a determination under this loan— of agriculture taken in accordance with the subparagraph not less than 15 days, and not ‘‘(A) loan consolidation, rescheduling, or Census of Agriculture Act of 1997 (7 U.S.C. more than 60 days, after the release of the reamortization; 2204g et seq.), except that this subparagraph notice under subclause (V); and ‘‘(B) interest rate reduction, including the shall not apply to a loan made or guaranteed ‘‘(VII) submit to the Committee on Agri- use of the limited resource program; under chapter 2 of subtitle A; and culture of the House of Representatives and ‘‘(C) loan restructuring, including deferral, ‘‘(H) demonstrates that the available re- the Committee on Agriculture, Nutrition, set aside, or writing down of the principal or sources of the applicant and any spouse of and Forestry of the Senate an annual report accumulated interest charges, or both, of the the applicant are not sufficient to enable the on actions taken to carry out this subpara- loan; or applicant to farm on a viable scale. graph. ‘‘(D) any combination of actions described ‘‘(27) RECREATIONAL PURPOSE.—For pur- ‘‘(v) HAWAII AND PUERTO RICO.—Notwith- in subparagraphs (A), (B), and (C). poses of section 3410, the term ‘recreational standing any other provision of this sub- ‘‘(24) PRIME FARMLAND.—The term ‘prime purpose’ has the meaning provided by the section, within the areas of the County of farmland’ means prime farmland and unique Secretary, but shall include hunting. Honolulu, Hawaii, and the Commonwealth of farmland (as defined in subsections (a) and ‘‘(28) RURAL AND RURAL AREA.— Puerto Rico, the Under Secretary may des- (b) of section 657.5 of title 7, Code of Federal ‘‘(A) IN GENERAL.—Subject to any deter- ignate any part of the areas as a rural area Regulations (1980)). mination made under subparagraph (B), the if the Under Secretary determines that the ‘‘(25) PROJECT.—For purposes of section terms ‘rural’ and ‘rural area’ mean any area part is not urban in character, other than 3501, the term ‘project’ includes a facility other than— any area included in the Honolulu Census providing central service or a facility serv- ‘‘(i) a city or town that has a population of Designated Place or the San Juan Census ing an individual property, or both. greater than 50,000 inhabitants; and Designated Place.

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‘‘(C) EXCLUSIONS.—Notwithstanding any collection, treatment, or disposal of waste; that describes the number and size of com- other provision of this paragraph, in deter- and munities served and the type of financing mining which census blocks in an urbanized ‘‘(2) financial assistance and other aid in provided. area are not in a rural area (as defined in the planning of projects for purposes de- ‘‘(F) AUTHORIZATION OF APPROPRIATIONS.— this paragraph), the Secretary shall exclude scribed in paragraph (1). There is authorized to be appropriated to any cluster of census blocks that would oth- ‘‘(b) ELIGIBLE ENTITIES.—Entities eligible carry out this paragraph $30,000,000 for each erwise be considered not in a rural area only for assistance described in subsection (a) of fiscal years 2013 through 2017. because the cluster is adjacent to not more are— ‘‘(2) EMERGENCY AND IMMINENT COMMUNITY than 2 census blocks that are otherwise con- ‘‘(1) associations (including corporations WATER ASSISTANCE PROGRAM.— sidered not in a rural area under this para- not operated for profit); ‘‘(A) IN GENERAL.—The Secretary shall pro- graph. ‘‘(2) Indian tribes; vide grants in accordance with this para- ‘‘(29) SEASONED DIRECT LOAN BORROWER.— ‘‘(3) public and quasi-public agencies; and graph to assist the residents of rural areas The term ‘seasoned direct loan borrower’ ‘‘(4) in the case of a project to attach an in- and small communities to secure adequate means a borrower who could reasonably be dividual property in a rural area to a water quantities of safe water— expected to qualify for commercial credit system to alleviate a health risk, an indi- ‘‘(i) after a significant decline in the quan- using criteria determined by the Secretary. vidual. tity or quality of water available from the ‘‘(30) SECRETARY.—The term ‘Secretary’ ‘‘(c) LOAN AND LOAN GUARANTEE REQUIRE- water supplies of the rural areas and small means the Secretary of Agriculture. MENTS.—In connection with loans made or communities, or when such a decline is im- ‘‘(31) SOCIALLY DISADVANTAGED FARMER.— guaranteed under this section, the Secretary minent; or The term ‘socially disadvantaged farmer’ shall require the applicant— ‘‘(ii) when repairs, partial replacement, or means a farmer who is a member of a so- ‘‘(1) to certify in writing, and the Sec- significant maintenance efforts on estab- cially disadvantaged group. retary shall determine, that the applicant is lished water systems would remedy— ‘‘(32) SOCIALLY DISADVANTAGED GROUP.— unable to obtain sufficient credit elsewhere ‘‘(I) an acute or imminent shortage of qual- The term ‘socially disadvantaged group’ to finance the actual needs of the applicant ity water; or means a group whose members have been at reasonable rates and terms, taking into ‘‘(II) a significant or imminent decline in subjected to racial, ethnic, or gender preju- consideration prevailing private and cooper- the quantity or quality of water that is dice because of the identity of the members ative rates and terms in the community in available. as members of a group without regard to the or near which the applicant resides for loans ‘‘(B) PRIORITY.—In carrying out subpara- individual qualities of the members. for similar purposes and periods of time; and graph (A), the Secretary shall— ‘‘(33) SOLAR ENERGY.—The term ‘solar en- ‘‘(2) to furnish an appropriate written fi- ‘‘(i) give priority to projects described in ergy’ means energy derived from sources nancial statement. subparagraph (A)(i); and (other than fossil fuels) and technologies in- ‘‘(d) GRANT AMOUNTS.— ‘‘(ii) provide at least 70 percent of all cluded in the Federal Nonnuclear Energy Re- ‘‘(1) MAXIMUM.—Except as otherwise pro- grants under this paragraph to those search and Development Act of 1974 (42 vided in this subsection, the amount of any projects. U.S.C. 5901 et seq.). grant made under this section shall not ex- ‘‘(C) ELIGIBILITY.—To be eligible to obtain ‘‘(34) STATE.—The term ‘State’ means— ceed 75 percent of the development cost of a grant under this paragraph, an applicant ‘‘(A) in this title (other than subtitle A), the project for which the grant is provided. shall— each of the 50 States, the Commonwealth of ‘‘(2) GRANT RATE.—The Secretary shall es- ‘‘(i) be a public or private nonprofit entity; Puerto Rico, the Virgin Islands, Guam, tablish the grant rate for each project in and American Samoa, the Commonwealth of the conformity with regulations issued by the ‘‘(ii) in the case of a grant made under sub- Northern Mariana Islands, the Republic of Secretary that shall provide for a graduated paragraph (A)(i), demonstrate to the Sec- the Marshall Islands, the Federated States of scale of grant rates that establish higher retary that the decline referred to in that Micronesia, and the Republic of Palau; and rates for projects in communities that subparagraph occurred, or will occur, not ‘‘(B) in subtitle A, each of the 50 States, have— later than 2 years after the date on which the Commonwealth of Puerto Rico, the Vir- ‘‘(A) lower community population; the application was filed for the grant. gin Islands, Guam, American Samoa, the ‘‘(B) higher rates of outmigration; and ‘‘(D) USES.— Commonwealth of the Northern Mariana Is- ‘‘(C) lower income levels. ‘‘(i) IN GENERAL.—Grants made under this lands, and, to the extent the Secretary deter- ‘‘(3) LOCAL SHARE REQUIREMENTS.—Grants paragraph may be used— mines it to be feasible and appropriate, the made under this section may be used to pay ‘‘(I) for waterline extensions from existing Republic of the Marshall Islands, the Fed- the local share requirements of another Fed- systems, laying of new waterlines, repairs, erated States of Micronesia, and the Repub- eral grant-in-aid program to the extent per- significant maintenance, digging of new lic of Palau. mitted under the law providing for the wells, equipment replacement, and hook and ‘‘(35) STATE BEGINNING FARMER PROGRAM.— grant-in-aid program. tap fees; The term ‘State beginning farmer program’ ‘‘(e) SPECIAL GRANTS.— ‘‘(II) for any other appropriate purpose as- means any program that is— ‘‘(1) REVOLVING FUNDS FOR FINANCING sociated with developing sources of, treating, ‘‘(A) carried out by, or under contract WATER AND WASTEWATER PROJECTS.— storing, or distributing water; with, a State; and ‘‘(A) IN GENERAL.—The Secretary may ‘‘(III) to assist communities in complying ‘‘(B) designed to assist qualified beginning make grants to qualified, nonprofit entities with the requirements of the Federal Water farmers in obtaining the financial assistance in rural areas to capitalize revolving funds Pollution Control Act (33 U.S.C. 1251 et seq.) necessary to enter agriculture and establish for the purpose of providing financing to eli- or the Safe Drinking Water Act (42 U.S.C. viable farming operations. gible entities for— 300f et seq.); and ‘‘(36) VETERAN.—The term ‘veteran’ has the ‘‘(i) predevelopment costs associated with ‘‘(IV) to provide potable water to commu- meaning given the term in section 101 of proposed water and wastewater projects or nities through other means. title 38, United States Code. with existing water and wastewater systems; ‘‘(ii) JOINT PROPOSALS.— ‘‘(37) WETLAND.—The term ‘wetland’ has and ‘‘(I) IN GENERAL.—Subject to the restric- the meaning given the term in section 1201(a) ‘‘(ii) short-term costs incurred for replace- tions in subparagraph (E), nothing in this of the Food Security Act of 1985 (16 U.S.C. ment equipment, small-scale extension serv- paragraph precludes rural communities from 3801(a)). ices, or other small capital projects that are submitting joint proposals for emergency ‘‘(38) WILDLIFE.—The term ‘wildlife’ means not part of the regular operations and main- water assistance. fish or wildlife (as defined in section 2(a) of tenance activities of existing water and ‘‘(II) CONSIDERATION OF RESTRICTIONS.—The the Lacey Act Amendments of 1981 (16 U.S.C. wastewater systems. restrictions in subparagraph (E) shall be con- 3371(a))). ‘‘(B) MAXIMUM AMOUNT OF FINANCING.—The sidered in the aggregate, depending on the ‘‘Subtitle B—Rural Development amount of financing made to an eligible en- number of communities involved. ‘‘CHAPTER 1—RURAL COMMUNITY tity under this paragraph shall not exceed— ‘‘(E) RESTRICTIONS.— PROGRAMS ‘‘(i) $100,000 for costs described in subpara- ‘‘(i) MAXIMUM INCOME.—No grant provided ‘‘SEC. 3501. WATER AND WASTE DISPOSAL LOANS, graph (A)(i); and under this paragraph shall be used to assist LOAN GUARANTEES, AND GRANTS. ‘‘(ii) $100,000 for costs described in subpara- any rural area or community that has a me- ‘‘(a) IN GENERAL.—The Secretary may graph (A)(ii). dian household income in excess of the State make grants and loans and issue loan guar- ‘‘(C) TERM.—The term of financing pro- nonmetropolitan median household income antees (including a guarantee of a loan fi- vided to an eligible entity under this para- according to the most recent decennial cen- nanced by the net proceeds of a bond de- graph shall not exceed 10 years. sus of the United States. scribed in section 142(a) of the Internal Rev- ‘‘(D) ADMINISTRATION.—The Secretary shall ‘‘(ii) SET-ASIDE FOR SMALLER COMMU- enue Code of 1986) to eligible entities de- limit the amount of grant funds that may be NITIES.—Not less than 50 percent of the funds scribed in subsection (b) for projects in rural used by a grant recipient for administrative allocated under this paragraph shall be allo- areas that primarily serve rural residents to costs incurred under this paragraph. cated to rural communities with populations provide for— ‘‘(E) ANNUAL REPORT.—A nonprofit entity that do not exceed 3,000 inhabitants. ‘‘(1) the development, storage, treatment, receiving a grant under this paragraph shall ‘‘(F) MAXIMUM GRANTS.—Grants made purification, or distribution of water or the submit to the Secretary an annual report under this paragraph may not exceed—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00124 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4055 ‘‘(i) in the case of each grant made under ‘‘(VI) Native Hawaiian Home Lands. inadequate roads and drainage, and a lack of subparagraph (A)(i), $500,000; and ‘‘(ii) ELIGIBLE PROJECTS.—Loans and grants adequate water or waste facilities. ‘‘(ii) in the case of each grant made under described in clause (i) shall be available only ‘‘(E) RELATIONSHIP TO OTHER AUTHORITY.— subparagraph (A)(ii), $150,000. to provide the described water and waste fa- Notwithstanding any other provision of law, ‘‘(G) FULL FUNDING.—Subject to subpara- cilities and services to communities whose the head of any Federal agency may enter graph (F), grants under this paragraph shall residents face significant health risks, as de- into interagency agreements with Federal, be made in an amount equal to 100 percent of termined by the Secretary, due to the fact State, tribal, and other entities to share re- the costs of the projects conducted under that a significant proportion of the residents sources, including transferring and accepting this paragraph. of the community do not have access to, or funds, equipment, or other supplies, to carry ‘‘(H) APPLICATION.— are not served by, adequate affordable— out the activities described in this para- ‘‘(i) NATIONALLY COMPETITIVE APPLICATION ‘‘(I) water supply systems; or graph. PROCESS.— ‘‘(II) waste disposal facilities. ‘‘(F) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(I) IN GENERAL.—The Secretary shall de- ‘‘(iii) MATCHING REQUIREMENTS.—For enti- There are authorized to be appropriated— velop a nationally competitive application ties described under subclauses (III), (IV), or ‘‘(i) for grants under this paragraph, process to award grants under this para- (V) of clause (i) to be eligible to receive a $60,000,000 for each fiscal year; graph. grant for water supply systems or waste dis- ‘‘(ii) for loans under this paragraph, ‘‘(II) REQUIREMENTS.—The process shall in- posal facilities, the State in which the $60,000,000 for each fiscal year; and clude criteria for evaluating applications, in- project will occur shall provide 25 percent in ‘‘(iii) in addition to grants provided under cluding population, median household in- clause (i), for grants under this section to matching funds from non-Federal sources. come, and the severity of the decline, or im- benefit Indian tribes, $20,000,000 for each fis- ‘‘(iv) CERTAIN AREAS TARGETED.— minent decline, in the quantity or quality of cal year. ‘‘(I) IN GENERAL.—Loans and grants under water. ‘‘(4) SOLID WASTE MANAGEMENT GRANTS.— clause (i) shall be made only if the loan or ‘‘(ii) TIMING OF REVIEW OF APPLICATIONS.— ‘‘(A) IN GENERAL.—The Secretary may grant funds will be used primarily to provide ‘‘(I) SIMPLIFIED APPLICATION.—The applica- make grants to nonprofit organizations for water or waste services, or both, to residents tion process developed by the Secretary the provision of regional technical assist- under clause (i) shall include a simplified ap- of a county or census area— ance to local and regional governments and plication form that will permit expedited ‘‘(aa) the per capita income of the resi- related agencies for the purpose of reducing consideration of an application for a grant dents of which is not more than 70 percent of or eliminating pollution of water resources filed under this paragraph. the national average per capita income, as and improving the planning and manage- determined by the Department of Commerce; ‘‘(II) PRIORITY REVIEW.—In processing ap- ment of solid waste disposal facilities in plications for any water or waste grant or and rural areas. loan authorized under this section, the Sec- ‘‘(bb) the unemployment rate of the resi- ‘‘(B) TECHNICAL ASSISTANCE GRANT retary shall afford priority processing to an dents of which is not less than 125 percent of AMOUNTS.—Grants made under this para- application for a grant under this paragraph the national average unemployment rate, as graph for the provision of technical assist- to the extent funds will be available for an determined by the Bureau of Labor Statis- ance shall be made for 100 percent of the cost award on the application at the conclusion of tics. of the technical assistance. priority processing. ‘‘(II) EXCEPTIONS.—Notwithstanding sub- ‘‘(C) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(III) TIMING.—The Secretary shall, to the clause (I), loans and grants under clause (i) There is authorized to be appropriated to maximum extent practicable, review and act may also be made if the loan or grant funds carry out this paragraph $10,000,000 for each on an application under this paragraph not will be used primarily to provide water or of fiscal years 2013 through 2017 later than 60 days after the date on which waste services, or both, to residents of— ‘‘(5) RURAL WATER AND WASTEWATER TECH- the application is submitted to the Sec- ‘‘(aa) a rural area that was recognized as a NICAL ASSISTANCE AND TRAINING PROGRAMS.— retary. colonia as of October 1, 1989; or ‘‘(A) GRANTS TO NONPROFITS.— ‘‘(I) FUNDING.— ‘‘(bb) an area described under subclause ‘‘(i) IN GENERAL.—The Secretary may make ‘‘(i) RESERVATION.— (II), (III), or (VI) of clause (i). grants to nonprofit organizations to enable ‘‘(I) IN GENERAL.—For each fiscal year, not ‘‘(C) LOANS AND GRANTS TO INDIVIDUALS.— the organizations to provide to associations less than 3 nor more than 5 percent of the ‘‘(i) IN GENERAL.—The Secretary shall that provide water and wastewater services total amount made available to carry out make or guarantee loans and make grants to in rural areas technical assistance and train- this section for the fiscal year shall be re- individuals who reside in a community de- ing— served for grants under this paragraph. scribed in subparagraph (B)(i) for the purpose ‘‘(I) to identify, and evaluate alternative ‘‘(II) RELEASE.—Funds reserved under sub- of extending water supply and waste disposal solutions to, problems relating to the obtain- clause (I) for a fiscal year shall be reserved systems, connecting the systems to the resi- ing, storage, treatment, purification, or dis- only until July 1 of the fiscal year. dences of the individuals, or installing tribution of water or the collection, treat- ‘‘(ii) AUTHORIZATION OF APPROPRIATIONS.— plumbing and fixtures within the residences ment, or disposal of waste in rural areas; In addition to funds made available under of the individuals to facilitate the use of the ‘‘(II) to prepare applications to receive fi- clause (i), there is authorized to be appro- water supply and waste disposal systems. nancial assistance for any purpose specified priated to carry out this paragraph ‘‘(ii) INTEREST.—Loans described in clause in subsection (a)(1) from any public or pri- $35,000,000 for each of fiscal years 2013 (i) shall be at a rate of interest no greater vate source; and through 2017. than the Federal Financing Bank rate on ‘‘(III) to improve the operation and main- ‘‘(3) WATER AND WASTE FACILITY LOANS AND loans of a similar term at the time the loans tenance practices at any existing works for GRANTS TO ALLEVIATE HEALTH RISKS.— are made. the storage, treatment, purification, or dis- ‘‘(A) DEFINITION OF COOPERATIVE.—In this ‘‘(iii) AMORTIZATION.—The repayment of tribution of water or the collection, treat- paragraph, the term ‘cooperative’ means a loans described in clause (i) shall be amor- ment, or disposal of waste in rural areas. cooperative formed specifically for the pur- tized over the expected life of the water sup- ‘‘(ii) SELECTION PRIORITY.—In selecting re- pose of the installation, expansion, improve- ply or waste disposal system to which the cipients of grants to be made under clause ment, or operation of water supply or waste residence of the borrower will be connected. (i), the Secretary shall give priority to non- disposal facilities or systems. ‘‘(iv) MANNER IN WHICH LOANS AND GRANTS profit organizations that have experience in ‘‘(B) LOANS AND GRANTS TO PERSONS OTHER ARE TO BE MADE.—Loans and grants to indi- providing the technical assistance and train- THAN INDIVIDUALS.— viduals under clause (i) shall be made— ing described in clause (i) to associations ‘‘(i) IN GENERAL.—The Secretary shall ‘‘(I) directly to the individuals by the Sec- serving rural areas in which— make or guarantee loans and make grants to retary; or ‘‘(I) residents have low income; and provide for the conservation, development, ‘‘(II) to the individuals through the rural ‘‘(II) water supply systems or waste facili- use, and control of water (including the ex- water supply corporation, cooperative, or ties are unhealthful. tension or improvement of existing water similar entity, or public agency, providing ‘‘(iii) FUNDING.— supply systems) and the installation or im- the water supply or waste disposal services, ‘‘(I) IN GENERAL.—Except as provided in provement of drainage or waste disposal fa- pursuant to regulations issued by the Sec- subclause (II), not less than 1 nor more than cilities and essential community facilities, retary. 3 percent of any funds made available to including necessary related equipment, ‘‘(D) PREFERENCE.—The Secretary shall carry out water and waste disposal projects training, and technical assistance to— give preference in the awarding of loans and described in subsection (a) for any fiscal year ‘‘(I) rural water supply corporations, co- grants under subparagraphs (B) and (C) to shall be reserved for grants under this para- operatives, or similar entities; entities described in clause (i) of subpara- graph. ‘‘(II) Indian tribes on Federal or State res- graph (B) that propose to provide water sup- ‘‘(II) EXCEPTION.—The minimum amount ervations and other federally recognized In- ply or waste disposal services to the resi- specified in subclause (I) shall not apply if dian tribes; dents of Indian reservations, rural or native the aggregate amount of grant funds re- ‘‘(III) rural or native villages in the State villages in the State of Alaska, Native Ha- quested by applications that qualify for of Alaska; waiian Home Lands, and those rural subdivi- grants received by the Secretary from eligi- ‘‘(IV) native tribal health consortiums; sions commonly referred to as colonias, that ble nonprofit organizations for the fiscal ‘‘(V) public agencies; and are characterized by substandard housing, year totals less than 1 percent of those funds.

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‘‘(B) RURAL WATER AND WASTEWATER CIR- loan; nor shall the happening of any such ‘‘(2) are experiencing outmigration; CUIT RIDER PROGRAM.— event be the basis of requiring such associa- ‘‘(3) have a high percentage of low-income ‘‘(i) IN GENERAL.—The Secretary shall con- tion to secure any franchise, license, or per- residents; or tinue a national rural water and wastewater mit as a condition to continuing to serve the ‘‘(4) are isolated from other significant circuit rider program that— area served by the association at the time of population centers. ‘‘(I) is consistent with the activities and the occurrence of such event. ‘‘(f) TRIBAL COLLEGES AND UNIVERSITIES.— results of the program conducted before Jan- ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(1) IN GENERAL.—The Secretary may make uary 1, 2012, as determined by the Secretary; There are authorized to be appropriated to grants to an entity that is a Tribal College and carry out this section such sums as are nec- or University (as defined in section 316(b) of ‘‘(II) received funding from the Secretary, essary. the Higher Education Act of 1965 (20 U.S.C. acting through the Administrator of the ‘‘SEC. 3502. COMMUNITY FACILITIES LOANS, 1059c(b))) to provide the Federal share of the Rural Utilities Service. LOAN GUARANTEES, AND GRANTS. cost of developing specific Tribal College or ‘‘(ii) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(a) IN GENERAL.—The Secretary may University essential community facilities in There is authorized to be appropriated to make grants and loans and issue loan guar- rural areas. carry out this subparagraph $25,000,000 for antees (including a guarantee of a loan fi- ‘‘(2) FEDERAL SHARE.—The Secretary shall fiscal year 2013 and each fiscal year there- nanced by the net proceeds of a bond de- establish the maximum percentage of the after. scribed in section 142(a) of the Internal Rev- cost of the project that may be covered by a ‘‘(6) SEARCH PROGRAM.— enue Code of 1986) to eligible entities de- grant under this subsection, except that the ‘‘(A) IN GENERAL.—The Secretary may es- scribed in subsection (b) for projects in rural Secretary may not require non-Federal fi- tablish a Special Evaluation Assistance for areas that primarily serve rural residents to nancial support in an amount that is greater Rural Communities and Households provide for— than 5 percent of the total cost of the (SEARCH) program to make predevelopment ‘‘(1) essential community facilities, includ- project. planning grants for feasibility studies, de- ing— ‘‘(3) AUTHORIZATION OF APPROPRIATIONS.— sign assistance, and technical assistance, to ‘‘(A) necessary equipment; There is authorized to be appropriated to financially distressed communities in rural ‘‘(B) recreational developments; and carry out this subsection $10,000,000 for each areas with populations of 2,500 or fewer in- ‘‘(2) financial assistance and other assist- of fiscal years 2013 through 2017. habitants for water and waste disposal ance in the planning of projects for purposes ‘‘(g) TECHNICAL ASSISTANCE FOR COMMUNITY projects described in this section. described in this section. FACILITIES PROJECTS.— ‘‘(B) TERMS.— ‘‘(b) ELIGIBLE ENTITIES.—Entities eligible ‘‘(1) IN GENERAL.—Subject to paragraph (2), ‘‘(i) DOCUMENTATION.—With respect to for assistance described in subsection (a) the Secretary may use funds made available grants made under this paragraph, the Sec- are— for community facilities programs author- retary shall require the lowest quantity of ‘‘(1) associations (including corporations ized under this section to provide technical documentation practicable. not operated for profit); assistance to applicants and participants for ‘‘(ii) MATCHING.—Notwithstanding any ‘‘(2) Indian tribes (including groups of indi- community facilities programs. other provision of this section, the Secretary viduals described in paragraph (4) of section ‘‘(2) FUNDING.—The Secretary may use not may fund up to 100 percent of the eligible 815 of the Native American Programs Act of more than 3 percent of the amount of funds costs of grants provided under this para- 1974 (42 U.S.C. 2992c)); and made available to participants for a fiscal graph, as determined by the Secretary. ‘‘(3) public and quasi-public agencies. year for a community facilities program to ‘‘(c) LOAN AND LOAN GUARANTEE REQUIRE- ‘‘(iii) FUNDING.—The Secretary may use provide technical assistance described in not more than 4 percent of the total amount MENTS.— paragraph (1). ‘‘(1) IN GENERAL.—In connection with loans of funds made available for a fiscal year for ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— water, waste disposal, and essential commu- made or guaranteed under this section, the There are authorized to be appropriated to nity facility activities under this chapter to Secretary shall require the applicant— carry out this section such sums as are nec- carry out this paragraph. ‘‘(A) to certify in writing, and the Sec- essary. retary shall determine, that the applicant is ‘‘(C) RELATIONSHIP TO OTHER AUTHORITY.— ‘‘SEC. 3503. HEALTH CARE SERVICES. unable to obtain sufficient credit elsewhere ‘‘(i) IN GENERAL.—The funds and authori- ‘‘(a) PURPOSE.—The purpose of this section to finance the actual needs of the applicant; ties provided under this paragraph are in ad- is to address the continued unmet health and dition to any other funds or authorities the needs in the Delta region through coopera- ‘‘(B) to furnish an appropriate written fi- Secretary may have to carry out activities tion among health care professionals, insti- nancial statement. described in this section. tutions of higher education, research institu- ‘‘(2) DEBT RESTRUCTURING AND LOAN SERV- ‘‘(ii) AUTHORIZED ACTIVITIES.—The Sec- tions, and other individuals and entities in ICING FOR COMMUNITY FACILITY LOANS.—The retary may furnish financial assistance or the region. Secretary shall establish and implement a other aid in planning projects for the pur- ‘‘(b) DEFINITION OF ELIGIBLE ENTITY.—In program that is similar to the program es- poses described in subparagraph (A). this section, the term ‘eligible entity’ means tablished under section 3411, except that the ‘‘(f) PRIORITY.—In making grants and a consortium of regional institutions of debt restructuring and loan servicing proce- loans, and guaranteeing loans, for water, higher education, academic health and re- dures shall apply to delinquent community wastewater, and waste disposal projects search institutes, and economic development facility program loans to a hospital or under this section, the Secretary shall give entities located in the Delta region that health care facility under subsection (a). priority consideration to projects that serve have experience in addressing the health ‘‘(d) GRANT AMOUNTS.— rural communities that, as determined by care issues in the region. ‘‘(1) MAXIMUM.—Except as otherwise pro- the Secretary— ‘‘(c) GRANTS.—To carry out the purpose de- vided in this subsection, the amount of any ‘‘(1) have a population of less than 5,500 scribed in subsection (a), the Secretary may grant made under this section shall not ex- permanent residents; award a grant to an eligible entity for— ceed 75 percent of the development cost of ‘‘(2) have a community water, wastewater, ‘‘(1) the development of— the project for which the grant is provided. or waste disposal system that— ‘‘(A) health care services; ‘‘(2) GRANT RATE.—The Secretary shall es- ‘‘(A) is experiencing— ‘‘(B) health education programs; and tablish the grant rate for each project in ‘‘(i) an unanticipated reduction in the ‘‘(C) health care job training programs; and conformity with regulations issued by the quality of water, the quantity of water, or ‘‘(2) the development and expansion of pub- Secretary that shall provide for a graduated the ability to deliver water; or lic health-related facilities in the Delta re- scale of grant rates that establish higher ‘‘(ii) some other deterioration in the sup- gion to address longstanding and unmet rates for projects in communities that ply of water to the community; health needs of the region. have— ‘‘(B) is not adequate to meet the needs of ‘‘(d) USE.—As a condition of the receipt of ‘‘(A) low community population; the community; and the grant, the eligible entity shall use the ‘‘(B) high rates of outmigration; and ‘‘(C) requires immediate corrective action; grant to fund projects and activities de- ‘‘(C) low income levels. ‘‘(3) are experiencing outmigration; scribed in subsection (c), based on input so- ‘‘(3) LOCAL SHARE REQUIREMENTS.—Grants ‘‘(4) have a high percentage of low-income licited from local governments, public health made under this section may be used to pay residents; or care providers, and other entities in the the local share requirements of another Fed- ‘‘(5) are isolated from other significant Delta region. eral grant-in-aid program to the extent per- population centers. ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(g) CURTAILMENT OR LIMITATION OF SERV- mitted under the law providing for the There is authorized to be appropriated to the ICE PROHIBITED.—The service provided or grant-in-aid program. Secretary to carry out this section $3,000,000 ‘‘(e) PRIORITY.—In making grants and made available through any such association for each of fiscal years 2013 through 2017. shall not be curtailed or limited by inclusion loans, and guaranteeing loans under this sec- of the area served by such association within tion, the Secretary shall give priority con- ‘‘CHAPTER 2—RURAL BUSINESS AND the boundaries of any municipal corporation sideration to projects that serve rural com- COOPERATIVE DEVELOPMENT or other public body, or by the granting of munities that— ‘‘SEC. 3601. BUSINESS PROGRAMS. any private franchise for similar service ‘‘(1) have a population of less than 20,000 ‘‘(a) RURAL BUSINESS DEVELOPMENT within such area during the term of such permanent residents; GRANTS.—

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‘‘(1) IN GENERAL.—The Secretary may make ‘‘(III) is physically segregated in a manner carry out this subsection $40,000,000 for each grants under this subsection to eligible enti- that results in the enhancement of the value of fiscal years 2013 through 2017. ties described in paragraph (2) in rural areas of the agricultural commodity or product; ‘‘(B) RESERVATION OF FUNDS FOR PROJECTS that primarily serve rural areas for purposes ‘‘(IV) is a source of farm-based renewable TO BENEFIT BEGINNING FARMERS, SOCIALLY described in paragraph (3). energy, including E–85 fuel; or DISADVANTAGED FARMERS, AND MID-TIER ‘‘(2) ELIGIBLE ENTITIES.—The Secretary ‘‘(V) is aggregated and marketed as a lo- VALUE CHAINS.— may make grants under this subsection to— cally produced agricultural food product; and ‘‘(i) IN GENERAL.—The Secretary shall re- ‘‘(A) governmental entities; ‘‘(ii) for which, as a result of the change in serve 10 percent of the amounts made avail- ‘‘(B) Indian tribes; and physical state or the manner in which the able for each fiscal year under this sub- ‘‘(C) nonprofit entities. agricultural commodity or product was pro- section to fund projects that benefit begin- ‘‘(3) ELIGIBLE PURPOSES FOR GRANTS.—Eli- duced, marketed, or segregated— ning farmers or socially disadvantaged farm- gible entities that receive grants under this ‘‘(I) the customer base for the agricultural ers. subsection may use the grant funds for— commodity or product is expanded; and ‘‘(ii) MID-TIER VALUE CHAINS.—The Sec- ‘‘(A) business opportunity projects that— ‘‘(II) a greater portion of the revenue de- retary shall reserve 10 percent of the ‘‘(i) identify and analyze business opportu- rived from the marketing, processing, or amounts made available for each fiscal year nities; physical segregation of the agricultural com- under this subsection to fund applications of ‘‘(ii) identify, train, and provide technical modity or product is available to the pro- eligible entities described in paragraph (2) assistance to existing or prospective rural ducer of the commodity or product. that propose to develop mid-tier value entrepreneurs and managers; ‘‘(2) GRANTS.— chains. ‘‘(iii) assist in the establishment of new ‘‘(A) IN GENERAL.—The Secretary may ‘‘(iii) UNOBLIGATED AMOUNTS.—Any rural businesses and the maintenance of ex- make grants under this subsection to— amounts in the reserves for a fiscal year es- isting businesses, including through business ‘‘(i) independent producers of value-added tablished under clauses (i) and (ii) that are support centers; agricultural products; and not obligated by June 30 of the fiscal year ‘‘(iv) conduct regional, community, and ‘‘(ii) an agricultural producer group, farm- shall be available to the Secretary to make local economic development planning and er cooperative, or majority-controlled pro- grants under this subsection to eligible enti- coordination, and leadership development; ducer-based business venture, as determined ties in any State, as determined by the Sec- and by the Secretary. retary. ‘‘(B) GRANTS TO A PRODUCER.—A grantee ‘‘(v) establish centers for training, tech- ‘‘(c) RURAL COOPERATIVE DEVELOPMENT nology, and trade that will provide training under subparagraph (A)(i) shall use the grant— GRANTS.— to rural businesses in the use of interactive ‘‘(1) DEFINITIONS.—In this subsection: communications technologies to develop ‘‘(i) to develop a business plan or perform a feasibility study to establish a viable mar- ‘‘(A) NONPROFIT INSTITUTION.—The term international trade opportunities and mar- ‘nonprofit institution’ means any organiza- kets; and keting opportunity (including through mid- tier value chains) for value-added agricul- tion or institution, including an accredited ‘‘(B) projects that support the development institution of higher education, no part of of business enterprises that finance or facili- tural products; or ‘‘(ii) to provide capital to establish alli- the net earnings of which inures, or may tate— ances or business ventures that allow the lawfully inure, to the benefit of any private ‘‘(i) the development of small and emerg- producer to better compete in domestic or shareholder or individual. ing private business enterprise; international markets. ‘‘(B) UNITED STATES.—The term ‘United ‘‘(ii) the establishment, expansion, and op- ‘‘(C) GRANTS TO AN AGRICULTURAL PRO- States’ means— eration of rural distance learning networks; DUCER GROUP, COOPERATIVE OR PRODUCER- ‘‘(i) the several States; and ‘‘(iii) the development of rural learning BASED BUSINESS VENTURE.—A grantee under ‘‘(ii) the District of Columbia. programs that provide educational instruc- subparagraph (A)(ii) shall use the grant— ‘‘(2) GRANTS.—The Secretary shall make tion or job training instruction related to ‘‘(i) to develop a business plan for viable grants under this subsection to nonprofit in- potential employment or job advancement to marketing opportunities in emerging mar- stitutions for the purpose of enabling the adult students; and kets for a value-added agricultural product; nonprofit institutions to establish and oper- ‘‘(iv) the provision of technical assistance or ate centers for rural cooperative develop- and training to rural communities for the ‘‘(ii) to develop strategies that are in- ment. purpose of improving passenger transpor- tended to create marketing opportunities in ‘‘(3) GOALS.—The goals of a center funded tation services or facilities. emerging markets for the value-added agri- under this subsection shall be to facilitate ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— cultural product. the creation of jobs in rural areas through There is authorized to be appropriated to the ‘‘(D) AWARD SELECTION.— the development of new rural cooperatives, Secretary to carry out this subsection ‘‘(i) PRIORITY.—In awarding grants under value -added processing, and rural busi- $65,000,000 for each of fiscal years 2013 this subsection, the Secretary shall give pri- nesses. through 2017, to remain available until ex- ority to projects— ‘‘(4) APPLICATION.— pended. ‘‘(I) that contribute to increasing opportu- ‘‘(A) IN GENERAL.—Any nonprofit institu- ‘‘(b) VALUE-ADDED AGRICULTURAL PRO- nities for operators of small- and medium- tion seeking a grant under paragraph (2) DUCER GRANTS.— sized farms that are structured as family shall submit to the Secretary an application ‘‘(1) DEFINITIONS.—In this subsection: farms; or containing a plan for the establishment and ‘‘(A) MID-TIER VALUE CHAIN.—The term ‘‘(II) at least 1⁄4 of the recipients of which operation by the institution of 1 or more ‘mid-tier value chain’ means a local and re- are beginning farmers or socially disadvan- centers for cooperative development. gional supply network that links inde- taged farmers. ‘‘(B) REQUIREMENTS.—The Secretary may pendent producers with businesses and co- ‘‘(ii) RANKING.—In evaluating and ranking approve an application if the plan contains operatives that market value-added agricul- proposals under this subsection, the Sec- the following: tural products in a manner that— retary shall provide substantial weight to ‘‘(i) A provision that substantiates that the ‘‘(i) targets and strengthens the profit- the priorities described in clause (i). center will effectively serve rural areas in ability and competitiveness of small- and ‘‘(E) AMOUNT OF GRANT.— the United States. medium-sized farms that are structured as ‘‘(i) IN GENERAL.—The total amount pro- ‘‘(ii) A provision that the primary objec- family farms; and vided to a grant recipient under this sub- tive of the center will be to improve the eco- ‘‘(ii) obtains agreement from an eligible section shall not exceed $500,000. nomic condition of rural areas through coop- agricultural producer group, farmer coopera- ‘‘(ii) MAJORITY-CONTROLLED, PRODUCER- erative development. tive, or majority-controlled producer-based BASED BUSINESS VENTURES.—The total ‘‘(iii) A description of the activities that business venture that is engaged in the value amount of all grants provided to majority- the center will carry out to accomplish the chain on a marketing strategy. controlled, producer-based business ventures objective, which may include programs— ‘‘(B) PRODUCER.—The term ‘producer’ under this subsection for a fiscal year shall ‘‘(I) for applied research and feasibility means a farmer. not exceed 10 percent of the amount of funds studies that may be useful to individuals, co- ‘‘(C) VALUE-ADDED AGRICULTURAL PROD- used to make all grants for the fiscal year operatives, small businesses, and other simi- UCT.—The term ‘value-added agricultural under this subsection. lar entities in rural areas served by the cen- product’ means any agricultural commodity ‘‘(F) TERM.—The term of a grant under this ter; or product— paragraph shall not exceed 3 years. ‘‘(II) for the collection, interpretation, and ‘‘(i) that— ‘‘(G) SIMPLIFIED APPLICATION.—The Sec- dissemination of information that may be ‘‘(I) has undergone a change in physical retary shall offer a simplified application useful to individuals, cooperatives, small state; form and process for project proposals re- businesses, and other similar entities in ‘‘(II) was produced in a manner that en- questing less than $50,000 under this sub- rural areas served by the center; hances the value of the agricultural com- section. ‘‘(III) providing training and instruction modity or product, as demonstrated through ‘‘(3) FUNDING.— for individuals, cooperatives, small busi- a business plan that shows the enhanced ‘‘(A) AUTHORIZATION OF APPROPRIATIONS.— nesses, and other similar entities in rural value, as determined by the Secretary; There is authorized to be appropriated to areas served by the center;

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00127 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4058 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(IV) providing loans and grants to indi- program, the Secretary shall award grants ricultural assistance institution’ means an viduals, cooperatives, small businesses, and for a period of more than 1 year, but not organization that— other similar entities in rural areas served more than 3 years, to a center that has suc- ‘‘(A) is described in section 501(c)(3) of the by the center; cessfully met the requirements of paragraph Internal Revenue Code of 1986 and exempt ‘‘(V) providing technical assistance, re- (5)(B), as determined by the Secretary. from taxation under 501(a) of that Code; search services, and advisory services to in- ‘‘(7) AUTHORITY TO EXTEND GRANT PERIOD.— ‘‘(B) has staff and offices in multiple re- dividuals, cooperatives, small businesses, The Secretary may extend for 1 additional gions of the United States; and other similar entities in rural areas 12-month period the period during which a ‘‘(C) has experience and expertise in oper- served by the center; and grantee may use a grant made under this ating national agricultural technical assist- ‘‘(VI) providing for the coordination of subsection. ance programs; services and sharing of information by the ‘‘(8) TECHNICAL ASSISTANCE TO PREVENT EX- ‘‘(D) expands markets for the agricultural center. CESSIVE UNEMPLOYMENT OR UNDEREMPLOY- commodities produced by producers through ‘‘(iv) A description of the contributions MENT.— the use of practices that enhance the envi- that the activities are likely to make to the ‘‘(A) IN GENERAL.—In carrying out this sub- ronment, natural resource base, and quality improvement of the economic conditions of section, the Secretary may provide technical of life; and the rural areas for which the center will pro- assistance to alleviate or prevent conditions ‘‘(E) improves the economic viability of ag- vide services. of excessive unemployment, underemploy- ricultural operations. ‘‘(v) Provisions that the center, in carrying ment, outmigration, or low employment ‘‘(2) ESTABLISHMENT.—The Secretary shall out the activities, will seek, if appropriate, growth in economically distressed rural establish a national appropriate technology the advice, participation, expertise, and as- areas that the Secretary determines have a transfer for rural areas program to assist ag- sistance of representatives of business, in- substantial need for the assistance. ricultural producers that are seeking infor- dustry, educational institutions, the Federal ‘‘(B) INCLUSIONS.—The assistance may in- mation— Government, and State and local govern- clude planning and feasibility studies, man- ‘‘(A) to reduce input costs; ments. agement and operational assistance, and ‘‘(B) to conserve energy resources; ‘‘(vi) Provisions that the center will take studies evaluating the need for the develop- ‘‘(C) to diversify operations through new all practicable steps to develop continuing ment potential of projects that increase em- energy crops and energy generation facili- sources of financial support for the center, ployment and improve economic growth in ties; and particularly from sources in the private sec- the areas. ‘‘(D) to expand markets for agricultural tor. ‘‘(9) GRANTS TO DEFRAY ADMINISTRATIVE commodities produced by the producers by ‘‘(vii) Provisions for— COSTS.— using practices that enhance the environ- ‘‘(I) monitoring and evaluating the activi- ment, natural resource base, and quality of ‘‘(A) IN GENERAL.—The Secretary may ties by the nonprofit institution operating make grants to defray not to exceed 75 per- life. the center; and cent of the costs incurred by organizations ‘‘(3) IMPLEMENTATION.— ‘‘(II) accounting for funds received by the and public bodies to carry out projects for ‘‘(A) IN GENERAL.—The Secretary shall institution under this section. which grants or loans are made under this carry out the program under this subsection WARDING GRANTS.— by making a grant to, or offering to enter ‘‘(5) A subsection. ‘‘(A) IN GENERAL.—Grants made under into a cooperative agreement with, a na- ‘‘(B) COST-SHARING.—For purposes of deter- paragraph (2) shall be made on a competitive tional nonprofit agricultural assistance in- mining the non-Federal share of the costs, basis. stitution. the Secretary shall include contributions in ‘‘(B) PREFERENCE.—In making grants under ‘‘(B) GRANT AMOUNT.—A grant made, or co- cash and in kind, fairly evaluated, including paragraph (2), the Secretary shall give pref- operative agreement entered into, under sub- premises, equipment, and services. erence to grant applications providing for paragraph (A) shall provide 100 percent of the ‘‘(10) COOPERATIVE RESEARCH PROGRAM.— the establishment of centers for rural coop- cost of providing information described in The Secretary shall offer to enter into a co- erative development that— paragraph (2). operative research agreement with 1 or more ‘‘(i) demonstrate a proven track record in ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— qualified academic institutions in each fiscal carrying out activities to promote and assist There is authorized to be appropriated to the development of cooperatively and mutu- year to conduct research on the effects of all carry out this subsection $5,000,000 for each ally owned businesses; types of cooperatives on the national econ- of fiscal years 2013 through 2017. ‘‘(ii) demonstrate previous expertise in omy. ‘‘(e) BUSINESS AND INDUSTRY DIRECT AND providing technical assistance in rural areas ‘‘(11) ADDRESSING NEEDS OF MINORITY COM- GUARANTEED LOANS.— to promote and assist the development of co- MUNITIES.— ‘‘(1) DEFINITION OF BUSINESS AND INDUSTRY operatively and mutually owned businesses; ‘‘(A) IN GENERAL.—If the total amount ap- LOAN.—In this section, the term ‘business ‘‘(iii) demonstrate the ability to assist in propriated under paragraph (13) for a fiscal and industry loan’ means a direct loan that the retention of businesses, facilitate the es- year exceeds $7,500,000, the Secretary shall is made, or a loan that is guaranteed, by the tablishment of cooperatives and new cooper- reserve an amount equal to 20 percent of the Secretary under this subsection. ative approaches, and generate employment total amount appropriated for grants for co- ‘‘(2) LOAN PURPOSES.—The Secretary may opportunities that will improve the eco- operative development centers, individual make business and industry loans to public, nomic conditions of rural areas; cooperatives, or groups of cooperatives— private, or cooperative organizations orga- ‘‘(iv) commit to providing technical assist- ‘‘(i) that serve socially disadvantaged nized for profit or nonprofit, private invest- ance and other services to underserved and groups; and ment funds that invest primarily in coopera- economically distressed areas in rural areas ‘‘(ii) a majority of the boards of directors tive organizations, or to individuals— of the United States; or governing boards of which are comprised ‘‘(A) to improve, develop, or finance busi- ‘‘(v) demonstrate a commitment to— of individuals who are members of socially ness, industry, and employment and improve ‘‘(I) networking with and sharing the re- disadvantaged groups. the economic and environmental climate in sults of the efforts of the center with other ‘‘(B) INSUFFICIENT APPLICATIONS.—To the rural communities, including pollution cooperative development centers and other extent there are insufficient applications to abatement and control; organizations involved in rural economic de- carry out subparagraph (A), the Secretary ‘‘(B) to conserve, develop, and use water velopment efforts; and shall use the funds as otherwise authorized for aquaculture purposes in rural areas; and ‘‘(II) developing multiorganization and by this subsection. ‘‘(C) to reduce the reliance on nonrenew- multistate approaches to addressing the eco- ‘‘(12) INTERAGENCY WORKING GROUP.—Not able energy resources by encouraging the de- nomic development and cooperative needs of later than 90 days after the date of enact- velopment and construction of renewable en- rural areas; and ment of the Agriculture Reform, Food, and ergy systems (including solar energy sys- ‘‘(vi) commit to providing a 25 percent Jobs Act of 2012, the Secretary shall coordi- tems, wind energy systems, and anaerobic matching contribution with private funds nate and chair an interagency working group digestors for the purpose of energy genera- and in-kind contributions, except that the to foster cooperative development and en- tion), including the modification of existing Secretary shall not require non-Federal fi- sure coordination with Federal agencies and systems, in rural areas. nancial support in an amount that is greater national and local cooperative organizations ‘‘(3) LOAN GUARANTEES FOR CERTAIN than 5 percent in the case of a 1994 institu- that have cooperative programs and inter- LOANS.—The Secretary may guarantee loans tion (as defined in section 532 of the Equity ests. made under this subsection to finance the in Educational Land-Grant Status Act of ‘‘(13) AUTHORIZATION OF APPROPRIATIONS.— issuance of bonds for the projects described 1994 (7 U.S.C. 301 note; Public Law 103–382)). There is authorized to be appropriated to in paragraph (2). ‘‘(6) GRANT PERIOD.— carry out this subsection $50,000,000 for each ‘‘(4) MAXIMUM AMOUNT OF PRINCIPAL.— ‘‘(A) IN GENERAL.—A grant awarded to a of fiscal years 2013 through 2017. ‘‘(A) IN GENERAL.—Except as otherwise pro- center that has received no prior funding ‘‘(d) APPROPRIATE TECHNOLOGY TRANSFER vided in this paragraph, no loan may be under this subsection shall be made for a pe- FOR RURAL AREAS PROGRAM.— made or guaranteed under this subsection riod of 1 year. ‘‘(1) DEFINITION OF NATIONAL NONPROFIT AG- that exceeds $25,000,000 in principal amount. ‘‘(B) MULTIYEAR GRANTS.—If the Secretary RICULTURAL ASSISTANCE INSTITUTION.—In this ‘‘(B) LIMITATIONS ON LOAN GUARANTEES FOR determines it to be in the best interest of the subsection, the term ‘national nonprofit ag- COOPERATIVE ORGANIZATIONS.—

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‘‘(i) PRINCIPAL AMOUNT.—Subject to clause ‘‘(ii) EQUITY.—The Secretary may guar- tail or institutional facilities that the con- (ii), the principal amount of a business and antee a loan made for the purchase of pre- sumers are purchasing or consuming locally industry loan made to a cooperative organi- ferred stock or similar equity issued by a co- or regionally produced agricultural food zation and guaranteed under this subsection operative organization or a fund that invests products. shall not exceed $40,000,000. primarily in cooperative organizations, if ‘‘(iii) PRIORITY.—In making or guaran- ‘‘(ii) USE.—To be eligible for a guarantee the guarantee significantly benefits 1 or teeing a loan under this paragraph, the Sec- under this subsection for a business and in- more entities eligible for assistance for the retary shall give priority to projects that dustry loan made to a cooperative organiza- purposes described in paragraph (2)(A), as de- have components benefitting underserved tion, the principal amount of the loan in ex- termined by the Secretary. communities. cess of $25,000,000 shall be used to carry out ‘‘(B) REFINANCING.—A cooperative organi- ‘‘(iv) REPORTS.—Not later than 2 years a project that is in a rural area and— zation that is eligible for a business and in- after the date of enactment of the Agri- ‘‘(I) provides for the value-added proc- dustry loan shall be eligible to refinance an culture Reform, Food, and Jobs Act of 2012 essing of agricultural commodities; or existing business and industry loan with a and annually thereafter, the Secretary shall ‘‘(II) significantly benefits 1 or more enti- lender if— submit to the Committee on Agriculture of ties eligible for assistance for the purposes ‘‘(i) the cooperative organization— the House of Representatives and the Com- described in paragraph (2), as determined by ‘‘(I) is current and performing with respect mittee on Agriculture, Nutrition, and For- the Secretary. to the existing loan; and estry of the Senate, and publish on the Inter- ‘‘(iii) APPLICATIONS.—If a cooperative orga- ‘‘(II)(aa) is not, and has not been, in pay- net, a report that describes projects carried nization submits an application for a guar- ment default, with respect to the existing out using loans or loan guarantees made antee under this paragraph, the Secretary loan; or under clause (i), including— shall make the determination whether to ap- ‘‘(bb) has not converted any of the collat- ‘‘(I) summary information about all prove the application, and the Secretary eral with respect to the existing loan; and projects; may not delegate this authority. ‘‘(ii) there is adequate security or full col- ‘‘(II) the characteristics of the commu- ‘‘(iv) MAXIMUM AMOUNT.—The total amount lateral for the refinanced loan. nities served; and of business and industry loans made to coop- ‘‘(10) LOAN GUARANTEES IN NONRURAL ‘‘(III) resulting benefits. erative organizations and guaranteed for a AREAS.—The Secretary may guarantee a fiscal year under this subsection with prin- business and industry loan to a cooperative ‘‘(v) RESERVATION OF FUNDS.—For each of cipal amounts that are in excess of $25,000,000 organization for a facility that is not located fiscal years 2012 through 2017, the Secretary may not exceed 10 percent of the total in a rural area if— shall reserve not less than 5 percent of the amount of business and industry loans guar- ‘‘(A) the primary purpose of the loan guar- total amount of funds made available to anteed for the fiscal year under this sub- antee is for a facility to provide value-added carry out this subsection to carry out this section. processing for agricultural producers that paragraph until April 1 of the fiscal year. ‘‘(5) FEES.—The Secretary may assess a 1- are located within 80 miles of the facility; ‘‘(vi) OUTREACH.—The Secretary shall de- time fee and an annual renewal fee for any ‘‘(B) the applicant demonstrates to the velop and implement an outreach plan to guaranteed business and industry loan in an Secretary that the primary benefit of the publicize the availability of loans and loan amount that does not exceed 3 percent of the loan guarantee will be to provide employ- guarantees under this paragraph, working guaranteed principal portion of the loan. ment for residents of a rural area; and closely with rural cooperative development ‘‘(6) INTANGIBLE ASSETS.—In determining ‘‘(C) the total amount of business and in- centers, credit unions, community develop- whether a cooperative organization is eligi- dustry loans guaranteed for a fiscal year ment financial institutions, regional eco- ble for a guaranteed business and industry under this paragraph does not exceed 10 per- nomic development authorities, and other fi- loan, the Secretary may consider the market cent of the business and industry loans guar- nancial and economic development entities. value of a properly appraised brand name, anteed for the fiscal year under this sub- ‘‘(12) AUTHORIZATION OF APPROPRIATIONS.— patent, or trademark of the cooperative. section. There is authorized to be appropriated to ‘‘(7) LOAN APPRAISALS.—The Secretary may ‘‘(11) LOCALLY OR REGIONALLY PRODUCED AG- carry out this subsection $75,000,000 for each require that any appraisal made in connec- RICULTURAL FOOD PRODUCTS.— of fiscal years 2013 through 2017. tion with a business and industry loan be ‘‘(A) DEFINITIONS.—In this paragraph: ‘‘(f) RELENDING PROGRAMS.— conducted by a specialized appraiser that ‘‘(i) LOCALLY OR REGIONALLY PRODUCED AG- ‘‘(1) INTERMEDIATE RELENDING PROGRAM.— uses standards that are comparable to stand- RICULTURAL FOOD PRODUCT.—The term ‘lo- ‘‘(A) IN GENERAL.—The Secretary may ards used for similar purposes in the private cally or regionally produced agricultural sector, as determined by the Secretary. food product’ means any agricultural food make or guarantee loans to eligible entities described in subparagraph (B) so that the eli- ‘‘(8) LOAN GUARANTEES FOR THE PURCHASE product that is raised, produced, and distrib- OF COOPERATIVE STOCK.— uted in— gible entities may relend the funds to indi- ‘‘(A) IN GENERAL.—The Secretary may ‘‘(I) the locality or region in which the viduals and entities for the purposes de- guarantee a business and industry loan to in- final product is marketed, so that the total scribed in subparagraph (C). dividual farmers to purchase capital stock of distance that the product is transported is ‘‘(B) ELIGIBLE ENTITIES.—Entities eligible a farmer cooperative established for the pur- less than 400 miles from the origin of the for loans and loan guarantees described in pose of processing an agricultural com- product; or subparagraph (A) are— modity. ‘‘(II) the State in which the product is pro- ‘‘(i) public agencies; ‘‘(B) PROCESSING CONTRACTS DURING INITIAL duced. ‘‘(ii) Indian tribes; PERIOD.—A cooperative described in subpara- ‘‘(ii) UNDERSERVED COMMUNITY.—The term ‘‘(iii) cooperatives; and graph (A) for which a farmer receives a guar- ‘underserved community’ means a commu- ‘‘(iv) nonprofit corporations. antee to purchase stock under that subpara- nity (including an urban or rural community ‘‘(C) ELIGIBLE PURPOSES.—The proceeds graph may contract for services to process and an Indian tribal community) that, as de- from loans made or guaranteed by the Sec- agricultural commodities or otherwise proc- termined by the Secretary, has— retary pursuant to subparagraph (A) may be ess value added for the period beginning on ‘‘(I) limited access to affordable, healthy relent by eligible entities for projects that— the date of the startup of the cooperative in foods, including fresh fruits and vegetables, ‘‘(i) predominately serve communities in order to provide adequate time for the plan- in grocery retail stores or farmer-to-con- rural areas; and ning and construction of the processing facil- sumer direct markets; and ‘‘(ii) as determined by the Secretary— ity of the cooperative. ‘‘(II) a high rate of hunger or food insecu- ‘‘(I) promote community development; ‘‘(C) FINANCIAL INFORMATION.—Financial rity or a high poverty rate. ‘‘(II) establish new businesses; information required by the Secretary from ‘‘(B) LOAN AND LOAN GUARANTEE PRO- ‘‘(III) establish and support microlending a farmer as a condition of making a business GRAM.— programs; and and industry loan guarantee under this para- ‘‘(i) IN GENERAL.—The Secretary shall ‘‘(IV) create or retain employment oppor- graph shall be provided in the manner gen- make or guarantee loans to individuals, co- tunities. erally required by commercial agricultural operatives, cooperative organizations, busi- ‘‘(D) AUTHORIZATION OF APPROPRIATIONS.— lenders in the applicable area. nesses, and other entities to establish and fa- There is authorized to be appropriated to ‘‘(9) LOANS TO COOPERATIVES.— cilitate enterprises that process, distribute, carry out this subsection $50,000,000 for each ‘‘(A) ELIGIBILITY.— aggregate, store, and market locally or re- of fiscal years 2013 through 2017. ‘‘(i) IN GENERAL.—The Secretary may make gionally produced agricultural food products ‘‘(2) RURAL MICROENTREPRENEUR ASSIST- or guarantee a business and industry loan to to support community development and farm ANCE PROGRAM.— a cooperative organization that is income. ‘‘(A) DEFINITIONS.—In this paragraph: headquartered in a metropolitan area if the ‘‘(ii) REQUIREMENT.—The recipient of a ‘‘(i) MICROENTREPRENEUR.—The term loan is— loan or loan guarantee under this paragraph ‘microentrepreneur’ means an owner and op- ‘‘(I) used for a project or venture described shall include in an appropriate agreement erator, or prospective owner and operator, of in paragraph (2) that is located in a rural with retail and institutional facilities to a rural microenterprise who is unable to ob- area; or which the recipient sells locally or region- tain sufficient training, technical assistance, ‘‘(II) a loan guarantee that meets the re- ally produced agricultural food products a or credit other than under this subsection, as quirements of paragraph (10). requirement to inform consumers of the re- determined by the Secretary.

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‘‘(ii) MICROENTERPRISE DEVELOPMENT ORGA- a 2-year period beginning on the date on companies with an objective of fostering eco- NIZATION.—The term ‘microenterprise devel- which the loan is made. nomic development in rural areas. opment organization’ means an organization ‘‘(iv) GRANTS TO SUPPORT RURAL MICROEN- ‘‘(3) EMPLOYEE WELFARE BENEFIT PLAN; PEN- that is— TERPRISE DEVELOPMENT.— SION PLAN.— ‘‘(I) a nonprofit entity; ‘‘(I) IN GENERAL.—The Secretary shall ‘‘(A) IN GENERAL.—The terms ‘employee ‘‘(II) an Indian tribe, the tribal government make grants to microenterprise development welfare benefit plan’ and ‘pension plan’ have of which certifies to the Secretary that— organizations— the meanings given the terms in section 3 of ‘‘(aa) no microenterprise development or- ‘‘(aa) to provide training and technical as- the Employee Retirement Income Security ganization serves the Indian tribe; and sistance, and other related services to rural Act of 1974 (29 U.S.C. 1002). ‘‘(bb) no rural microentrepreneur assist- microentrepreneurs; and ‘‘(B) INCLUSIONS.—The terms ‘employee ance program exists under the jurisdiction of ‘‘(bb) to carry out such other projects and welfare benefit plan’ and ‘pension plan’ in- the Indian tribe; activities as the Secretary determines appro- clude— ‘‘(III) a public institution of higher edu- priate to further the purposes of the pro- ‘‘(i) public and private pension or retire- cation; or gram. ment plans subject to this subtitle; and ‘‘(IV) a collaboration of rural nonprofit en- ‘‘(II) SELECTION.—In making grants under ‘‘(ii) similar plans not covered by this sub- tities serving a region or State, if 1 lead non- subclause (I), the Secretary shall— title that have been established, and that are profit entity is the sole underwriter of all ‘‘(aa) place an emphasis on microenterprise maintained, by the Federal Government or loans and is responsible for associated risks. development organizations that serve micro- any State (including by a political subdivi- sion, agency, or instrumentality of the Fed- ‘‘(iii) MICROLOAN.—The term ‘microloan’ entrepreneurs that are located in rural areas eral Government or a State) for the benefit means a business loan of not more than that have suffered significant outward mi- of employees. $50,000 that is provided to a rural microen- gration, as determined by the Secretary; and ‘‘(4) EQUITY CAPITAL.—The term ‘equity terprise. ‘‘(bb) ensure, to the maximum extent prac- capital’ means common or preferred stock or ‘‘(iv) PROGRAM.—The term ‘program’ ticable, that grant recipients include micro- a similar instrument, including subordinated means the rural microentrepreneur assist- enterprise development organizations of debt with equity features. ance program established under subpara- varying sizes and that serve racially and eth- ‘‘(5) LEVERAGE.—The term ‘leverage’ in- graph (B). nically diverse populations. ‘‘(v) GRANTS TO ASSIST MICROENTRE- cludes— ‘‘(v) RURAL MICROENTERPRISE.—The term ‘‘(A) debentures purchased or guaranteed ‘rural microenterprise’ means a business en- PRENEURS.— ‘‘(I) IN GENERAL.—The Secretary shall by the Secretary; tity with not more than 10 full-time equiva- ‘‘(B) participating securities purchased or lent employees located in a rural area. make annual grants to microenterprise de- velopment organizations to provide tech- guaranteed by the Secretary; and ‘‘(vi) TRAINING.—The term ‘training’ means ‘‘(C) preferred securities outstanding as of teaching broad business principles or general nical assistance to microentrepreneurs that— the date of enactment of the Agriculture Re- business skills in a group or public setting. form, Food, and Jobs Act of 2012. ‘‘(vii) TECHNICAL ASSISTANCE.—The term ‘‘(aa) received a loan from the microenter- prise development organization under sub- ‘‘(6) LICENSE.—The term ‘license’ means a ‘technical assistance’ means working with a license issued by the Secretary in accord- paragraph (B)(iii); or business client in a 1-to-1 manner to provide ance with in subsection (d)(5). ‘‘(bb) are seeking a loan from the microen- business and financial management coun- ‘‘(7) LIMITED LIABILITY COMPANY.—The term terprise development organization under seling, assist in the preparation of business ‘limited liability company’ means a business subparagraph (B)(iii). or marketing plans, or provide other skills entity that is organized and operating in ac- ‘‘(II) MAXIMUM AMOUNT OF TECHNICAL AS- tailored to an individual microentrepreneur. cordance with a State limited liability com- SISTANCE GRANT.—The maximum amount of a ‘‘(B) RURAL MICROENTREPRENEUR ASSIST- pany law approved by the Secretary. grant under this clause shall be in an ANCE PROGRAM.— ‘‘(8) MEMBER.—The term ‘member’ means, amount equal to not more than 25 percent of ‘‘(i) ESTABLISHMENT.—The Secretary shall with respect to a rural business investment the total outstanding balance of microloans establish a rural microentrepreneur assist- company that is a limited liability company, ance program to provide loans and grants to made by the microenterprise development a holder of an ownership interest, or a person support microentrepreneurs in the develop- organization under clause (iii), as of the date otherwise admitted to membership in the ment and ongoing success of rural micro- the grant is awarded. limited liability company. ‘‘(vi) ADMINISTRATIVE EXPENSES.—Not more enterprises. ‘‘(9) OPERATIONAL ASSISTANCE.—The term ‘‘(ii) PURPOSE.—The purpose of the pro- than 10 percent of a grant received by a mi- ‘operational assistance’ means management, gram is to provide microentrepreneurs croenterprise development organization for a marketing, and other technical assistance with— fiscal year under this subparagraph may be that assists a rural business concern with ‘‘(I) the skills necessary to establish new used to pay administrative expenses. business development. rural microenterprises; and ‘‘(C) ADMINISTRATION.— ‘‘(10) PARTICIPATION AGREEMENT.—The term ‘‘(II) continuing technical and financial as- ‘‘(i) MATCHING REQUIREMENT.—As a condi- ‘participation agreement’ means an agree- sistance related to the successful operation tion of any grant made under clauses (iv) and ment, between the Secretary and a rural of rural microenterprises. (v) of subparagraph (B), the Secretary shall business investment company granted final ‘‘(iii) LOANS.— require the microenterprise development or- approval under subsection (d)(5), that re- ‘‘(I) IN GENERAL.—The Secretary shall ganization to match not less than 15 percent quires the rural business investment com- make loans to microenterprise development of the total amount of the grant in the form pany to make investments in smaller enter- organizations for the purpose of providing of matching funds (including community de- prises in rural areas. fixed-interest rate microloans to microentre- velopment block grants), indirect costs, or ‘‘(11) PRIVATE CAPITAL.— preneurs for startup and growing rural in-kind goods or services. ‘‘(A) IN GENERAL.—The term ‘private cap- microenterprises. ‘‘(ii) OVERSIGHT.—At a minimum, not later ital’ means the total of— ‘‘(II) LOAN TERMS.—A loan made by the than December 1 of each fiscal year, a micro- ‘‘(i)(I) the paid-in capital and paid-in sur- Secretary to a microenterprise development enterprise development organization that re- plus of a corporate rural business investment organization under this subparagraph shall— ceives a loan or grant under this section company; ‘‘(aa) be for a term not to exceed 20 years; shall provide to the Secretary such informa- ‘‘(II) the contributed capital of the part- and tion as the Secretary may require to ensure ners of a partnership rural business invest- ‘‘(bb) bear an annual interest rate of at that assistance provided under this section is ment company; or least 1 percent. used for the purposes for which the loan or ‘‘(III) the equity investment of the mem- ‘‘(III) LOAN LOSS RESERVE FUND.—The Sec- grant was made. bers of a limited liability company rural retary shall require each microenterprise de- ‘‘(D) AUTHORIZATION OF APPROPRIATIONS.— business investment company; and velopment organization that receives a loan There is authorized to be appropriated to ‘‘(ii) unfunded binding commitments from under this subparagraph to— carry out this paragraph $40,000,000 for each investors that meet criteria established by ‘‘(aa) establish a loan loss reserve fund; of fiscal years 2013 through 2017. the Secretary to contribute capital to the and ‘‘SEC. 3602. RURAL BUSINESS INVESTMENT PRO- rural business investment company, except ‘‘(bb) maintain the reserve fund in an GRAM. that— amount equal to at least 5 percent of the ‘‘(a) DEFINITIONS.—In this section: ‘‘(I) unfunded commitments may be count- outstanding balance of such loans owed by ‘‘(1) ARTICLES.—The term ‘articles’ means ed as private capital for purposes of approval the microenterprise development organiza- articles of incorporation for an incorporated by the Secretary of any request for leverage; tion, until all obligations owed to the Sec- body or the functional equivalent or other but retary under this subparagraph are repaid. similar documents specified by the Secretary ‘‘(II) leverage shall not be funded based on ‘‘(IV) DEFERRAL OF INTEREST AND PRIN- for other business entities. the commitments. CIPAL.—The Secretary may permit the defer- ‘‘(2) DEVELOPMENTAL VENTURE CAPITAL.— ‘‘(B) EXCLUSIONS.—The term ‘private cap- ral of payments on principal and interest due The term ‘developmental venture capital’ ital’ does not include— on a loan to a microenterprise development means capital in the form of equity capital ‘‘(i) any funds borrowed by a rural business organization made under this paragraph for investments in rural business investment investment company from any source;

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00130 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4061 ‘‘(ii) any funds obtained through the mined by allowing a deduction in an amount opmental venture capital investments in issuance of leverage; or equal to the total of— identified rural areas; ‘‘(iii) any funds obtained directly or indi- ‘‘(i) if the rural business concern is not re- ‘‘(B) information regarding the community rectly from the Federal Government or any quired by law to pay State (and local, if any) development finance or relevant venture State (including by a political subdivision, income taxes at the enterprise level, the capital qualifications and general reputation agency, or instrumentality of the Federal product obtained by multiplying— of the management of the company; Government or a State), except for— ‘‘(I) the net income (determined without ‘‘(C) a description of how the company in- ‘‘(I) funds obtained from the business reve- regard to this subparagraph); by tends to work with community-based organi- nues (excluding any governmental appropria- ‘‘(II) the marginal State income tax rate zations and local entities (including local tion) of any Federally chartered or govern- (or by the combined State and local income economic development companies, local ment-sponsored enterprise established prior tax rates, as applicable) that would have ap- lenders, and local investors) and to seek to to the date of enactment of the Agriculture plied if the business concern were a corpora- address the unmet equity capital needs of Reform, Food, and Jobs Act of 2012; tion; and the communities served; ‘‘(II) funds invested by an employee welfare ‘‘(ii) the product obtained by multiplying— ‘‘(D) a proposal describing how the com- benefit plan or pension plan; and ‘‘(I) the net income (so determined) less pany intends to use the grant funds provided ‘‘(III) any qualified nonprivate funds (if the any deduction for State (and local) income under this section to provide operational as- investors of the qualified nonprivate funds taxes calculated under clause (i); by sistance to smaller enterprises financed by do not control, directly or indirectly, the ‘‘(II) the marginal Federal income tax rate the company, including information regard- that would have applied if the rural business ing whether the company intends to use li- management, board of directors, general concern were a corporation. censed professionals, as necessary, on the partners, or members of the rural business ‘‘(b) PURPOSES.—The purposes of the Rural staff of the company or from an outside enti- investment company). Business Investment Program established ty; ‘‘(12) QUALIFIED NONPRIVATE FUNDS.—The under this section are— ‘‘(E) with respect to binding commitments term ‘qualified nonprivate funds’ means ‘‘(1) to promote economic development and to be made to the company under this sec- any— the creation of wealth and job opportunities tion, an estimate of the ratio of cash to in- ‘‘(A) funds directly or indirectly invested in rural areas and among individuals living kind contributions; in any applicant or rural business invest- in those areas by encouraging developmental ‘‘(F) a description of the criteria to be used ment company on or before the date of en- venture capital investments in smaller en- to evaluate whether and to what extent the actment of the Agriculture Reform, Food, terprises primarily located in rural areas; company meets the purposes of the program and Jobs Act of 2012 by any Federal agency, and established under this section; other than the Department, under a provi- ‘‘(2) to establish a developmental venture ‘‘(G) information regarding the manage- sion of law explicitly mandating the inclu- capital program, with the mission of address- ment and financial strength of any parent sion of those funds in the definition of the ing the unmet equity investment needs of firm, affiliated firm, or any other firm essen- term ‘private capital’; and small enterprises located in rural areas, by tial to the success of the business plan of the ‘‘(B) funds invested in any applicant or authorizing the Secretary— company; and rural business investment company by 1 or ‘‘(A) to enter into participation agree- ‘‘(H) such other information as the Sec- more entities of any State (including by a ments with rural business investment com- retary may require. political subdivision, agency, or instrumen- panies; ‘‘(3) STATUS.—Not later than 90 days after tality of the State and including any guar- ‘‘(B) to guarantee debentures of rural busi- the initial receipt by the Secretary of an ap- antee extended by those entities) in an ag- ness investment companies to enable each plication under this subsection, the Sec- gregate amount that does not exceed 33 per- rural business investment company to make retary shall provide to the applicant a writ- cent of the private capital of the applicant or developmental venture capital investments ten report describing the status of the appli- rural business investment company. in smaller enterprises in rural areas; and cation and any requirements remaining for ‘‘(13) RURAL BUSINESS CONCERN.—The term ‘‘(C) to make grants to rural business in- completion of the application. ‘rural business concern’ means— vestment companies, and to other entities, ‘‘(4) MATTERS CONSIDERED.—In reviewing ‘‘(A) a public, private, or cooperative for- for the purpose of providing operational as- and processing any application under this profit or nonprofit organization; sistance to smaller enterprises financed, or subsection, the Secretary shall— ‘‘(B) a for-profit or nonprofit business con- expected to be financed, by rural business in- ‘‘(A) determine whether— trolled by an Indian tribe; or vestment companies. ‘‘(i) the applicant meets the requirements ‘‘(C) any other person or entity that pri- ‘‘(c) ESTABLISHMENT.—In accordance with of paragraph (5); and marily operates in a rural area, as deter- this subtitle, the Secretary shall establish a ‘‘(ii) the management of the applicant is mined by the Secretary. Rural Business Investment Program, under qualified and has the knowledge, experience, ‘‘(14) RURAL BUSINESS INVESTMENT COM- which the Secretary may— and capability necessary to comply with this PANY.—The term ‘rural business investment ‘‘(1) enter into participation agreements section; company’ means a company that— with companies granted final approval under ‘‘(B) take into consideration— ‘‘(A) has been granted final approval by the subsection (d)(5) for the purposes described ‘‘(i) the need for and availability of financ- Secretary under subsection (d)(5); and in subsection (b); ing for rural business concerns in the geo- ‘‘(B) has entered into a participation agree- ‘‘(2) guarantee the debentures issued by graphic area in which the applicant is to ment with the Secretary. rural business investment companies as pro- commence business; ‘‘(15) SMALLER ENTERPRISE.— vided in subsection (e); and ‘‘(ii) the general business reputation of the ‘‘(A) IN GENERAL.—The term ‘smaller enter- ‘‘(3) make grants to rural business invest- owners and management of the applicant; prise’ means any rural business concern ment companies, and to other entities, under and that, together with its affiliates— subsection (h). ‘‘(iii) the probability of successful oper- ‘‘(i) has— ‘‘(d) SELECTION OF RURAL BUSINESS INVEST- ations of the applicant, including adequate ‘‘(I) a net financial worth of not more than MENT COMPANIES.— profitability and financial soundness; and $6,000,000, as of the date on which assistance ‘‘(1) ELIGIBILITY.—A company shall be eli- ‘‘(C) not take into consideration any pro- is provided under this section to the rural gible to apply to participate, as a rural busi- jected shortage or unavailability of grant business concern; and ness investment company, in the program es- funds or leverage. ‘‘(II) except as provided in subparagraph tablished under this section if— ‘‘(5) APPROVAL; LICENSE.— (B), an average net income for the 2-year pe- ‘‘(A) the company is a newly formed for- ‘‘(A) IN GENERAL.—Except as provided in riod preceding the date on which assistance profit entity or a newly formed for-profit subparagraph (B), the Secretary may ap- is provided under this section to the rural subsidiary of such an entity; prove an applicant to operate as a rural busi- business concern, of not more than $2,000,000, ‘‘(B) the company has a management team ness investment company under this subtitle after Federal income taxes (excluding any with experience in community development and license the applicant as a rural business carryover losses); or financing or relevant venture capital financ- investment company, if— ‘‘(ii) satisfies the standard industrial clas- ing; and ‘‘(i) the Secretary determines that the ap- sification size standards established by the ‘‘(C) the company will invest in enterprises plication satisfies the requirements of para- Administrator of the Small Business Admin- that will create wealth and job opportunities graph (2); istration for the industry in which the rural in rural areas, with an emphasis on smaller ‘‘(ii) the area in which the rural business business concern is primarily engaged. enterprises. investment company is to conduct its oper- ‘‘(B) EXCEPTION.—For purposes of subpara- ‘‘(2) APPLICATION.—To participate, as a ations, and establishment of branch offices graph (A)(i)(II), if the rural business concern rural business investment company, in the or agencies (if authorized by the articles), is not required by law to pay Federal income program established under this section, a are approved by the Secretary; and taxes at the enterprise level, but is required company meeting the eligibility require- ‘‘(iii) the applicant enters into a participa- to pass income through to the shareholders, ments of paragraph (1) shall submit an appli- tion agreement with the Secretary. partners, beneficiaries, or other equitable cation to the Secretary that includes— ‘‘(B) CAPITAL REQUIREMENTS.— owners of the business concern, the net in- ‘‘(A) a business plan describing how the ‘‘(i) IN GENERAL.—Notwithstanding any come of the business concern shall be deter- company intends to make successful devel- other provision of this section, the Secretary

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00131 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4062 CONGRESSIONAL RECORD — SENATE June 12, 2012 may approve an applicant to operate as a paid debenture represents in the trust or ‘‘(II) in the case of a license issued after rural business investment company under pool. the date of enactment of the Agriculture Re- this section and designate the applicant as a ‘‘(ii) INTEREST.—Interest on prepaid or de- form, Food, and Jobs Act of 2012, be a rate as rural business investment company, if the faulted debentures shall accrue and be guar- determined by the Secretary. Secretary determines that the applicant— anteed by the Secretary only through the ‘‘(C) PROHIBITION ON COLLECTION OF CERTAIN ‘‘(I) has private capital as determined by date of payment of the guarantee. FEES.—In the case of a license described in the Secretary; ‘‘(iii) REDEMPTION.—At any time during subparagraph (A) that was approved before ‘‘(II) would otherwise be approved under the term of a trust certificate, the trust cer- July 1, 2007, the Secretary shall not collect this section, except that the applicant does tificate may be called for redemption due to any fees due on or after the date of enact- not satisfy the requirements of subsection prepayment or default of all debentures. ment of the Agriculture Reform, Food, and (i)(3); and ‘‘(3) FULL FAITH AND CREDIT OF THE UNITED Jobs Act of 2012. ‘‘(III) has a viable business plan that— STATES.—Section 3901 shall apply to any ‘‘(h) OPERATIONAL ASSISTANCE GRANTS.— ‘‘(aa) reasonably projects profitable oper- guarantee of a trust certificate issued by the ‘‘(1) IN GENERAL.—In accordance with this ations; and Secretary under this section. subsection, the Secretary may make grants ‘‘(bb) has a reasonable timetable for ‘‘(4) SUBROGATION AND OWNERSHIP RIGHTS.— to rural business investment companies and achieving a level of private capital that sat- ‘‘(A) SUBROGATION.—If the Secretary pays a isfies the requirements of subsection (i)(3). claim under a guarantee issued under this to other entities, as authorized by this sec- ‘‘(ii) LEVERAGE.—An applicant approved section, the claim shall be subrogated fully tion, to provide operational assistance to under clause (i) shall not be eligible to re- to the rights satisfied by the payment. smaller enterprises financed, or expected to be financed, by the entities. ceive leverage under this section until the ‘‘(B) OWNERSHIP RIGHTS.—No Federal, applicant satisfies the requirements of sec- State, or local law shall preclude or limit the ‘‘(2) TERMS.—Grants made under this sub- tion 3602(i)(3). exercise by the Secretary of the ownership section shall be made over a multiyear pe- ‘‘(iii) GRANTS.—An applicant approved rights of the Secretary in a debenture resid- riod (not to exceed 10 years) under such under clause (i) shall be eligible for grants ing in a trust or pool against which 1 or more terms as the Secretary may require. under subsection (h) in proportion to the pri- trust certificates are issued under this sub- ‘‘(3) USE OF FUNDS.—The proceeds of a vate capital of the applicant, as determined section. grant made under this subsection may be by the Secretary. ‘‘(5) MANAGEMENT AND ADMINISTRATION.— used by the rural business investment com- ‘‘(e) DEBENTURES.— ‘‘(A) REGISTRATION.—The Secretary shall pany receiving the grant only to provide ‘‘(1) IN GENERAL.—The Secretary may guar- provide for a central registration of all trust operational assistance in connection with an antee the timely payment of principal and certificates issued under this subsection. equity or prospective equity investment in a interest, as scheduled, on debentures issued ‘‘(B) CREATION OF POOLS.—The Secretary business located in a rural area. by any rural business investment company. may— ‘‘(4) SUBMISSION OF PLANS.—A rural busi- ‘‘(2) TERMS AND CONDITIONS.—The Sec- ‘‘(i) maintain such commercial bank ac- ness investment company shall be eligible retary may make guarantees under this sub- counts or investments in obligations of the for a grant under this subsection only if the section on such terms and conditions as the United States as may be necessary to facili- rural business investment company submits Secretary considers appropriate, except that tate the creation of trusts or pools backed by to the Secretary, in such form and manner the term of any debenture guaranteed under debentures guaranteed under this subtitle; as the Secretary may require, a plan for use this section shall not exceed 15 years. and of the grant. ‘‘(3) FULL FAITH AND CREDIT OF THE UNITED ‘‘(ii) issue trust certificates to facilitate ‘‘(5) GRANT AMOUNT.— STATES.—Section 3901 shall apply to any ‘‘(A) RURAL BUSINESS INVESTMENT COMPA- guarantee under this subsection. the creation of those trusts or pools. ‘‘(C) FIDELITY BOND OR INSURANCE REQUIRE- NIES.—The amount of a grant made under ‘‘(4) MAXIMUM GUARANTEE.—Under this sub- this subsection to a rural business invest- section, the Secretary may— MENT.—Any agent performing functions on behalf of the Secretary under this paragraph ment company shall be equal to the lesser ‘‘(A) guarantee the debentures issued by a of— rural business investment company only to shall provide a fidelity bond or insurance in such amount as the Secretary considers to ‘‘(i) 10 percent of the private capital raised the extent that the total face amount of out- by the rural business investment company; standing guaranteed debentures of the rural be necessary to fully protect the interests of the United States. or business investment company does not ex- ‘‘(ii) $1,000,000. ceed the lesser of— ‘‘(D) REGULATION OF BROKERS AND DEAL- ERS.—The Secretary may regulate brokers ‘‘(6) OTHER ENTITIES.—The amount of a ‘‘(i) 300 percent of the private capital of the grant made under this subsection to any en- rural business investment company; or and dealers in trust certificates issued under this subsection. tity other than a rural business investment ‘‘(ii) $105,000,000; and company shall be equal to the resources (in ‘‘(B) provide for the use of discounted de- ‘‘(E) ELECTRONIC REGISTRATION.—Nothing in this paragraph prohibits the use of a book- cash or in kind) raised by the entity in ac- bentures. cordance with the requirements applicable ‘‘(f) ISSUANCE AND GUARANTEE OF TRUST entry or other electronic form of registra- to rural business investment companies CERTIFICATES.— tion for trust certificates issued under this under this section. ‘‘(1) ISSUANCE.—The Secretary may issue subsection. trust certificates representing ownership of ‘‘(g) FEES.— ‘‘(i) RURAL BUSINESS INVESTMENT COMPA- all or a fractional part of debentures issued ‘‘(1) IN GENERAL.—The Secretary may NIES.— by a rural business investment company and charge a fee that does not exceed $500 with ‘‘(1) ORGANIZATION.—For purposes of this guaranteed by the Secretary under this sec- respect to any guarantee or grant issued subsection, a rural business investment com- tion, if the certificates are based on and under this section. pany shall— backed by a trust or pool approved by the ‘‘(2) TRUST CERTIFICATE.—Notwithstanding ‘‘(A) be an incorporated body, a limited li- Secretary and composed solely of guaranteed paragraph (1), the Secretary shall not collect ability company, or a limited partnership or- debentures. a fee for any guarantee of a trust certificate ganized and chartered or otherwise existing ‘‘(2) GUARANTEE.— under subsection (f), except that any agent under State law solely for the purpose of per- ‘‘(A) IN GENERAL.—The Secretary may, of the Secretary may collect a fee that does forming the functions and conducting the ac- under such terms and conditions as the Sec- not exceed $500 for the functions described in tivities authorized by this section; and retary considers appropriate, guarantee the subsection (f)(5)(B). ‘‘(B)(i) if incorporated, have succession for timely payment of the principal of and inter- ‘‘(3) LICENSE.— a period of not less than 30 years unless ear- est on trust certificates issued by the Sec- ‘‘(A) IN GENERAL.—Except as provided in lier dissolved by the shareholders of the retary or agents of the Secretary for pur- subparagraph (C), the Secretary may pre- rural business investment company; and poses of this subsection. scribe fees to be paid by each applicant for a ‘‘(ii) if a limited partnership or a limited ‘‘(B) LIMITATION.—Each guarantee under license to operate as a rural business invest- liability company, have succession for a pe- this paragraph shall be limited to the extent ment company under this section. riod of not less than 10 years; and of principal and interest on the guaranteed ‘‘(B) USE OF AMOUNTS.—Fees collected ‘‘(iii) possess the powers reasonably nec- debentures that compose the trust or pool. under this paragraph— essary to perform the functions and conduct ‘‘(C) PREPAYMENT OR DEFAULT.— ‘‘(i) shall be deposited in the account for the activities. ‘‘(i) IN GENERAL.— salaries and expenses of the Secretary; ‘‘(2) ARTICLES.—The articles of any rural ‘‘(I) AUTHORITY TO PREPAY.—A debenture ‘‘(ii) are authorized to be appropriated business investment company— may be prepaid at any time without penalty. solely to cover the costs of licensing exami- ‘‘(A) shall specify in general terms— ‘‘(II) REDUCTION OF GUARANTEE.—Subject to nations; and ‘‘(i) the purposes for which the rural busi- subclause (I), if a debenture in a trust or pool ‘‘(iii) shall— ness investment company is formed; is prepaid, or in the event of default of such ‘‘(I) in the case of a license issued before ‘‘(ii) the name of the rural business invest- a debenture, the guarantee of timely pay- the date of enactment of the Agriculture Re- ment company; ment of principal and interest on the trust form, Food, and Jobs Act of 2012, not exceed ‘‘(iii) the 1 or more areas in which the op- certificates shall be reduced in proportion to $500 for any fee collected under this para- erations of the rural business investment the amount of principal and interest the pre- graph; and company are to be carried out;

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00132 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4063 ‘‘(iv) the place where the principal office of and surplus of the bank, association, or in- leverage each rural business investment the rural business investment company is to stitution. company has received from the Federal Gov- be located; and ‘‘(3) LIMITATION ON RURAL BUSINESS INVEST- ernment and the type of leverage instru- ‘‘(v) the amount and classes of the shares MENT COMPANIES CONTROLLED BY FARM CREDIT ments each rural business investment com- of capital stock of the rural business invest- SYSTEM INSTITUTIONS.—If a Farm Credit Sys- pany has used; ment company; tem institution described in section 1.2(a) of ‘‘(v) the amount of losses sustained by the ‘‘(B) may contain any other provisions con- the Farm Credit Act of 1971 (12 U.S.C. 2002(a)) Federal Government as a result of operations sistent with this section that the rural busi- holds more than 25 percent of the shares of a under this section during the previous fiscal ness investment company may determine ap- rural business investment company, either year and an estimate of the total losses that propriate to adopt for the regulation of the alone or in conjunction with other System the Federal Government can reasonably ex- business of the rural business investment institutions (or affiliates), the rural business pect to incur as a result of the operations company and the conduct of the affairs of investment company shall not provide eq- during the current fiscal year; the rural business investment company; and uity investments in, or provide other finan- ‘‘(vi) actions taken by the Secretary to ‘‘(C) shall be subject to the approval of the cial assistance to, entities that are not oth- maximize recoupment of funds of the Federal Secretary. erwise eligible to receive financing from the Government expended to implement and ad- ‘‘(3) CAPITAL REQUIREMENTS.— Farm Credit System under that Act (12 minister the Rural Business Investment Pro- ‘‘(A) IN GENERAL.—Each rural business in- U.S.C. 2001 et seq.). gram under this section during the previous vestment company shall be required to meet ‘‘(k) EXAMINATIONS.— fiscal year and to ensure compliance with the capital requirements as provided by the ‘‘(1) IN GENERAL.—Each rural business in- the requirements of this section (including Secretary. vestment company that participates in the regulations); ‘‘(B) TIME FRAME.—Each rural business in- program established under this section shall ‘‘(vii) the amount of Federal Government vestment company shall have a period of 2 be subject to examinations made at the di- leverage that each licensee received in the years to meet the capital requirements of rection of the Secretary in accordance with previous fiscal year and the types of leverage this paragraph. this subsection. instruments each licensee used; ‘‘(2) ASSISTANCE OF PRIVATE SECTOR ENTI- ‘‘(C) ADEQUACY.—In addition to the re- ‘‘(viii) for each type of financing instru- quirements of subparagraph (A), the Sec- TIES.—An examination under this subsection ment, the sizes, types of geographic loca- retary shall— may be conducted with the assistance of a tions, and other characteristics of the small ‘‘(i) determine whether the private capital private sector entity that has the qualifica- business investment companies using the in- tions and the expertise necessary to conduct of each rural business investment company strument during the previous fiscal year, in- such an examination. is adequate to ensure a reasonable prospect cluding the extent to which the investment ‘‘(3) COSTS.— that the rural business investment company companies have used the leverage from each ‘‘(A) IN GENERAL.—The Secretary may as- will be operated soundly and profitably, and instrument to make loans or equity invest- sess the cost of an examination under this managed actively and prudently in accord- ments in rural areas; and section, including compensation of the ex- ance with the articles of the rural business ‘‘(ix) the actions of the Secretary to carry aminers, against the rural business invest- investment company; out this section ment company examined. ROHIBITION.—In compiling the report ‘‘(ii) determine that the rural business in- ‘‘(B) P ‘‘(B) PAYMENT.—Any rural business invest- required under subparagraph (A), the Sec- vestment company will be able to comply ment company against which the Secretary retary may not— with the requirements of this section; assesses costs under this subparagraph shall ‘‘(i) compile the report in a manner that ‘‘(iii) require that at least 75 percent of the pay the costs. permits identification of any particular type capital of each rural business investment ‘‘(4) DEPOSIT OF FUNDS.—Funds collected of investment by an individual rural business company is invested in rural business con- under this subsection shall— investment company or small business con- cerns; ‘‘(A) be deposited in the account that in- cern in which a rural business investment ‘‘(iv) ensure that the rural business invest- curred the costs for carrying out this sub- company invests; or ment company is designed primarily to meet section; ‘‘(ii) release any information that is pro- equity capital needs of the businesses in ‘‘(B) be made available to the Secretary to hibited under section 1905 of title 18, United which the rural business investment com- carry out this subsection, without further States Code. pany invests and not to compete with tradi- appropriation; and ‘‘(m) AUTHORIZATION OF APPROPRIATIONS.— tional small business financing by commer- ‘‘(C) remain available until expended. There is authorized to be appropriated to cial lenders; and ‘‘(l) REPORTING REQUIREMENTS.— carry out this section $25,000,000 for the pe- ‘‘(v) require that the rural business invest- ‘‘(1) RURAL BUSINESS INVESTMENT COMPA- riod of fiscal years 2008 through 2017.’’. ment company makes short-term non-equity NIES.—Each entity that participates in a pro- ‘‘CHAPTER 3—GENERAL RURAL investments of less than 5 years only to the gram established under this section shall DEVELOPMENT PROVISIONS extent necessary to preserve an existing in- provide to the Secretary such information as vestment. ‘‘SEC. 3701. GENERAL PROVISIONS FOR LOANS the Secretary may require, including— AND GRANTS. ‘‘(4) DIVERSIFICATION OF OWNERSHIP.—The ‘‘(A) information relating to the measure- ‘‘(a) PERIOD FOR REPAYMENT.—Unless oth- Secretary shall ensure that the management ment criteria that the entity proposed in the erwise specifically provided for in this sub- of each rural business investment company program application of the rural business in- title, the period for repayment of a loan licensed after the date of enactment of the vestment company; and under this subtitle shall not exceed 40 years. Agriculture Reform, Food, and Jobs Act of ‘‘(B) in each case in which the entity under ‘‘(b) INTEREST RATES.— 2012 is sufficiently diversified from and unaf- this section makes an investment in, or a ‘‘(1) IN GENERAL.—Except as otherwise pro- filiated with the ownership of the rural busi- loan or grant to, a business that is not lo- vided in this title, the interest rate on a loan ness investment company so as to ensure cated in a rural area, a report on the number under this subtitle shall be determined by independence and objectivity in the financial and percentage of employees of the business the Secretary at a rate— management and oversight of the invest- who reside in those areas. ‘‘(A) not to exceed a sum obtained by add- ments and operations of the rural business ‘‘(2) PUBLIC REPORTS.— ing— investment company. ‘‘(A) IN GENERAL.—The Secretary shall pre- ‘‘(i) the current average market yield on ‘‘(j) FINANCIAL INSTITUTION INVESTMENTS.— pare and make available to the public an an- outstanding marketable obligations of the ‘‘(1) IN GENERAL.—Except as otherwise pro- nual report on the programs established United States with remaining periods to ma- vided in this subsection and notwithstanding under this section, including detailed infor- turity comparable to the average maturity any other provision of law, the following mation on— of the loan; and banks, associations, and institutions are eli- ‘‘(i) the number of rural business invest- ‘‘(ii) an amount not to exceed 1 percent, as gible both to establish and invest in any ment companies licensed by the Secretary determined by the Secretary; and rural business investment company or in any during the previous fiscal year; ‘‘(B) adjusted to the nearest 1⁄8 of 1 percent. entity established to invest solely in rural ‘‘(ii) the aggregate amount of leverage that ‘‘(2) WATER AND WASTE FACILITY LOANS AND business investment companies: rural business investment companies have COMMUNITY FACILITIES LOANS.— ‘‘(A) Any bank or savings association the received from the Federal Government dur- ‘‘(A) IN GENERAL.—Notwithstanding any deposits of which are insured under the Fed- ing the previous fiscal year; provision of State law limiting the rate or eral Deposit Insurance Act (12 U.S.C. 1811 et ‘‘(iii) the aggregate number of each type of amount of interest that may be charged, seq.), including an investment pool created leveraged instruments used by rural business taken, received, or reserved, except as pro- entirely by such bank or savings association. investment companies during the previous vided in subparagraph (C) and paragraph (5), ‘‘(B) Any Farm Credit System institution fiscal year and how each number compares the interest rate on a loan (other than a described in subsection 1.2(a) of the Farm to previous fiscal years; guaranteed loan) to a public body or non- Credit Act of 1971 (12 U.S.C. 2002(a)). ‘‘(iv) the number of rural business invest- profit association (including an Indian tribe) ‘‘(2) LIMITATION.—No bank, association, or ment company licenses surrendered and the for a water or waste disposal facility or es- institution described in paragraph (1) may number of rural business investment compa- sential community facility shall be deter- make investments described in paragraph (1) nies placed in liquidation during the pre- mined by the Secretary at a rate not to ex- that are greater than 5 percent of the capital vious fiscal year, identifying the amount of ceed—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00133 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4064 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(i) the current market yield on out- the private market for similar loans and con- development plans on a multijurisdictional standing municipal obligations with remain- sidering the insurance by the Secretary of basis, as approved by the Secretary. ing periods to maturity comparable to the the loans; and ‘‘(b) EVALUATION.—In evaluating strategic average maturity for the loan, and adjusted ‘‘(ii) an additional charge, prescribed by applications, the Secretary shall give a high- to the nearest 1⁄8 of 1 percent; the Secretary, to cover the losses of the Sec- er priority to strategic applications for a ‘‘(ii) 5 percent per year for a loan that is retary and cost of administration, which plan described in subsection (a) that dem- for the upgrading of a facility or construc- shall be deposited in the Rural Development onstrate— tion of a new facility as required to meet ap- Insurance Fund, and further adjusted to the ‘‘(1) the plan was developed through the plicable health or sanitary standards in— nearest 1⁄8 of 1 percent. collaboration of multiple stakeholders in the ‘‘(I) an area in which the median family in- ‘‘(4) INTEREST RATES ADJUSTMENTS.— service area of the plan, including the par- come of the persons to be served by the facil- ‘‘(A) ADJUSTMENTS.—Notwithstanding any ticipation of combinations of stakeholders ity is below the poverty line (as defined in other provision of this subsection, in the such as State, local, and tribal governments, section 673 of the Community Services Block case of loans (other than guaranteed loans) nonprofit institutions, institutions of higher Grant Act (42 U.S.C. 9902)); and made or guaranteed under the authorities of education, and private entities; ‘‘(II) any areas the Secretary may des- this title specified in subparagraph (C) for ‘‘(2) an understanding of the applicable re- ignate in which a significant percentage of activities that involve the use of prime farm- gional resources that could support the plan, the persons to be served by the facilities are land, the interest rates shall be the interest including natural resources, human re- low income persons, as determined by the rates otherwise applicable under this section sources, infrastructure, and financial re- Secretary; and increased by 2 percent per year. sources; ‘‘(iii) 7 percent per year for a loan for a fa- ‘‘(B) PRIME FARMLAND.— ‘‘(3) investment from other Federal agen- cility that does not qualify for the 5 percent ‘‘(i) IN GENERAL.—Wherever practicable, cies; per year interest rate prescribed in clause construction by a State, municipality, or ‘‘(4) investment from philanthropic organi- (ii) but that is located in an area in a State other political subdivision of local govern- zations; and in which the median household income of the ment that is supported by loans described in ‘‘(5) clear objectives for the plan and the persons to be served by the facility does not subparagraph (A) shall be placed on land ability to establish measurable performance exceed 100 percent of the statewide non- that is not prime farmland, in order to pre- measures and to track progress toward meet- metropolitan median household income for serve the maximum practicable quantity of ing the objectives. the State. prime farmlands for production of food and ‘‘SEC. 3703. GUARANTEED RURAL DEVELOPMENT ‘‘(B) HEALTH CARE AND RELATED FACILI- fiber. LOANS. TIES ‘‘(a) IN GENERAL.—The Secretary may pro- .—Notwithstanding subparagraph (A), ‘‘(ii) INCREASED RATE.—In any case in vide financial assistance to a borrower for a the Secretary shall establish a rate for a which other options exist for the siting of purpose provided in this subtitle by guaran- loan for a health care or related facility that construction described in clause (i) and the teeing a loan made by any Federal or State is— governmental authority still desires to carry chartered bank, savings and loan associa- ‘‘(i) based solely on the income of the area out the construction on prime farmland, the tion, cooperative lending agency, or other le- to be served; and 2-percent interest rate increase provided by ‘‘(ii) otherwise consistent with subpara- gally organized lending agency. this paragraph shall apply, but that in- graph (A). ‘‘(b) INTEREST RATE.—The interest rate creased interest rate shall not apply where ‘‘(C) INTEREST RATES FOR WATER AND WASTE payable by a borrower on the portion of a such other options do not exist. DISPOSAL FACILITIES LOANS.— guaranteed loan that is sold by a lender to ‘‘(C) APPLICABLE AUTHORITIES.—The au- ‘‘(i) IN GENERAL.—Except as provided in the secondary market under this subtitle thorities referred to in subparagraph (A) clause (ii) and notwithstanding subparagraph may be lower than the interest rate charged are— (A), in the case of a direct loan for a water on the portion retained by the lender. ‘‘(i) the provisions of section 3502(a) relat- or waste disposal facility— ‘‘(c) MAXIMUM GUARANTEE OF 90 PERCENT.— ing to loans for recreational developments ‘‘(I) in the case of a loan that would be sub- Except as provided in subsections (d) and (e), and essential community facilities; ject to the 5 percent interest rate limitation a loan guarantee under this subtitle shall be under subparagraph (A), the Secretary shall ‘‘(ii) section 3601(e)(2)(A); and for not more than 90 percent of the principal establish the interest rate at a rate that is ‘‘(iii) section 3601(c). and interest due on the loan. ‘‘(d) REFINANCED LOANS GUARANTEED AT 95 equal to 60 percent of the current market ‘‘(c) PAYMENT OF CHARGES.—A borrower of PERCENT.—The Secretary shall guarantee 95 yield for outstanding municipal obligations a loan made or guaranteed under this sub- percent of— with remaining periods to maturity com- title shall pay such fees and other charges as ‘‘(1) in the case of a loan that solely refi- parable to the average maturity of the loan, the Secretary may require, and prepay to the Secretary such taxes and insurance as the nances a direct loan made under this sub- adjusted to the nearest 1⁄8 of 1 percent; and title, the principal and interest due on the ‘‘(II) in the case of a loan that would be Secretary may require, on such terms and loan on the date of the refinancing; or subject to the 7 percent limitation under conditions as the Secretary may prescribe. ‘‘(2) in the case of a loan that is used for subparagraph (A), the Secretary shall estab- ‘‘(d) SECURITY.— multiple purposes, the portion of the loan lish the interest rate at a rate that is equal ‘‘(1) IN GENERAL.—The Secretary shall take that refinances the principal and interest to 80 percent of the current market yield for as security for an obligation entered into in outstanding municipal obligations with re- connection with a loan made under this sub- due on a direct loan made under this subtitle maining periods to maturity comparable to title such security as the Secretary may re- that is outstanding on the date on which the the average maturity of the loan, adjusted to quire. loan is guaranteed. ‘‘(e) RISK OF LOSS.— the nearest 1⁄8 of 1 percent. ‘‘(2) LIENS TO UNITED STATES.—An instru- ‘‘(1) IN GENERAL.—Subject to subsection ‘‘(ii) EXCEPTION.—Clause (i) does not apply ment for security under paragraph (1) may (b), the Secretary may not make a loan to a loan for a specific project that is the constitute a lien running to the United under section 3501 or 3601 unless the Sec- subject of a loan that has been approved, but States notwithstanding the fact that the retary determines that no other lender is not closed, as of the date of enactment of the note for the security may be held by a lender willing to make the loan and assume 10 per- Agriculture Reform, Food, and Jobs Act of other than the United States. cent of the potential loss to be sustained 2012. ‘‘(3) MULTIPLE LOANS.—A borrower may use from the loan. ‘‘(3) INTEREST RATES ON BUSINESS AND the same collateral to secure 2 or more loans ‘‘(2) EXCEPTION FOR NONPROFIT GROUPS.— OTHER LOANS.— made or guaranteed under this subtitle, ex- Paragraph (1) shall not apply to a public ‘‘(A) IN GENERAL.—Except as provided in cept that the outstanding amount of the body or nonprofit association, including an paragraph (4), the interest rates on loans loans may not exceed the total value of the Indian tribe. under sections 3501(a)(1) (other than guaran- collateral. teed loans and loans as described in para- ‘‘(e) LEGAL COUNSEL FOR SMALL LOANS.—In ‘‘SEC. 3704. RURAL DEVELOPMENT INSURANCE FUND. graph (2)(A)) shall be as determined by the the case of a loan of less than $500,000 made ‘‘(a) DEFINITION OF RURAL DEVELOPMENT Secretary in accordance with subparagraph or guaranteed under section 3501 that is evi- denced by a note or mortgage (as distin- LOAN.—In this section, the term ‘rural devel- (B). opment loan’ means a loan provided for by guished from a bond issue), the borrower ‘‘(B) MINIMUM RATE.—The interest rates de- section 3501 or 3601. shall not be required to appoint bond counsel scribed in subparagraph (A) shall be not less ‘‘(b) ESTABLISHMENT.—There is established than the sum obtained by adding— to review the legal validity of the loan if the in the Treasury of the United States a fund ‘‘(i) such rates as determined by the Sec- Secretary has available legal counsel to per- to be known as the ‘Rural Development In- retary of the Treasury taking into consider- form the review. surance Fund’ that shall be used by the Sec- ation the current average market yield on ‘‘SEC. 3702. STRATEGIC ECONOMIC AND COMMU- retary to discharge the obligations of the outstanding marketable obligations of the NITY DEVELOPMENT. Secretary under contracts making or guar- United States with remaining periods to ma- ‘‘(a) PRIORITY.—In the case of any rural de- anteeing rural development loans. turity comparable to the average maturities velopment program authorized by this sub- ‘‘SEC. 3705. RURAL ECONOMIC AREA PARTNER- of such loans, adjusted in the judgment of title, the Secretary may give priority to ap- SHIP ZONES. the Secretary of the Treasury to provide for plications that are otherwise eligible and ‘‘(a) IN GENERAL.—The Secretary may des- rates comparable to the rates prevailing in support strategic community and economic ignate additional areas as rural economic

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area partnership zones to be assisted under ‘‘(2) ALTERNATE FEDERAL COCHAIRPERSON.— proceedings and reports on actions by the this chapter— The President shall appoint an alternate Authority as the Authority considers appro- ‘‘(1) through an open, competitive process; Federal cochairperson. priate; and ‘‘(3) QUORUM.—A State alternate shall not ‘‘(2) authorize, through the Federal or ‘‘(2) with priority given to rural areas— be counted toward the establishment of a State cochairperson or any other member of ‘‘(A) with excessive unemployment or quorum of the Authority in any instance in the Authority designated by the Authority, underemployment, a high percentage of low- which a quorum of the State members is re- the administration of oaths if the Authority income residents, or high rates of outmigra- quired to be present. determines that testimony should be taken tion, as determined by the Secretary; and ‘‘(4) DELEGATION OF POWER.—No power or or evidence received under oath; ‘‘(B) that the Secretary determines have a responsibility of the Authority specified in ‘‘(3) request from any Federal, State, or substantial need for assistance. paragraphs (2) and (3) of subsection (c), and local department or agency such information ‘‘(b) REQUIREMENTS.—The Secretary shall no voting right of any Authority member, as may be available to or procurable by the carry out those rural economic area partner- shall be delegated to any person— department or agency that may be of use to ship zones administratively in effect on the ‘‘(A) who is not an Authority member; or the Authority in carrying out duties of the date of enactment of the Agriculture Re- ‘‘(B) who is not entitled to vote in Author- Authority; form, Food, and Jobs Act of 2012 in accord- ity meetings. ‘‘(4) adopt, amend, and repeal bylaws, ance with the terms and conditions con- ‘‘(c) VOTING.— rules, and regulations governing the conduct tained in the memoranda of agreement en- ‘‘(1) IN GENERAL.—A decision by the Au- of Authority business and the performance of tered into by the Secretary for the rural eco- thority shall require a majority vote of the Authority duties; nomic area partnership zones. Authority (not including any member rep- ‘‘(5) request the head of any Federal de- resenting a State that is delinquent under partment or agency to detail to the Author- ‘‘SEC. 3706. STREAMLINING APPLICATIONS AND subsection (g)(2)(C)) to be effective. ity such personnel as the Authority requires IMPROVING ACCESSIBILITY OF RURAL DEVELOPMENT PROGRAMS. ‘‘(2) QUORUM.—A quorum of State members to carry out duties of the Authority, each shall be required to be present for the Au- ‘‘The Secretary shall expedite the process such detail to be without loss of seniority, thority to make any policy decision, includ- pay, or other employee status; of creating user-friendly and accessible ap- ing— ‘‘(6) request the head of any State depart- plication forms and procedures prioritizing ‘‘(A) a modification or revision of an Au- ment or agency or local government to de- programs and applications at the individual thority policy decision; tail to the Authority such personnel as the level with an emphasis on utilizing current ‘‘(B) approval of a State or regional devel- Authority requires to carry out duties of the technology including online applications and opment plan; and Authority, each such detail to be without submission processes. ‘‘(C) any allocation of funds among the loss of seniority, pay, or other employee sta- ‘‘CHAPTER 4—DELTA REGIONAL States. tus; AUTHORITY ‘‘(3) PROJECT AND GRANT PROPOSALS.—The ‘‘(7) provide for coverage of Authority em- ‘‘SEC. 3801. DEFINITIONS. approval of project and grant proposals shall ployees in a suitable retirement and em- ‘‘In this chapter: be— ployee benefit system by— ‘‘(A) a responsibility of the Authority; and ‘‘(1) AUTHORITY.—The term ‘Authority’ ‘‘(A) making arrangements or entering means the Delta Regional Authority estab- ‘‘(B) conducted in accordance with section into contracts with any participating State lished by section 3802. 3809. government; or ‘‘(4) VOTING BY ALTERNATE MEMBERS.—An ‘‘(2) FEDERAL GRANT PROGRAM.—The term ‘‘(B) otherwise providing retirement and ‘Federal grant program’ means a Federal alternate member shall vote in the case of other employee benefit coverage; grant program to provide assistance in— the absence, death, disability, removal, or ‘‘(8) accept, use, and dispose of gifts or do- ‘‘(A) acquiring or developing land; resignation of the Federal or State rep- nations of services or real, personal, tan- ‘‘(B) constructing or equipping a highway, resentative for which the alternate member gible, or intangible property; road, bridge, or facility; or is an alternate. ‘‘(9) enter into and perform such contracts, ‘‘(d) DUTIES.—The Authority shall— ‘‘(C) carrying out other economic develop- leases, cooperative agreements, or other ‘‘(1) develop, on a continuing basis, com- ment activities. transactions as are necessary to carry out prehensive and coordinated plans and pro- Authority duties, including any contracts, ‘‘(3) REGION.—The term ‘region’ means the grams to establish priorities and approve Lower Mississippi (as defined in section 4 of leases, or cooperative agreements with— grants for the economic development of the the Delta Development Act (42 U.S.C. 3121 ‘‘(A) any department, agency, or instru- region, giving due consideration to other note; Public Law 100–460)). mentality of the United States; Federal, State, and local planning and devel- ‘‘(B) any State (including a political sub- ‘‘SEC. 3802. DELTA REGIONAL AUTHORITY. opment activities in the region; division, agency, or instrumentality of the ‘‘(a) ESTABLISHMENT.— ‘‘(2) review, and where appropriate amend, State); or ‘‘(1) IN GENERAL.—There is established the priorities in a development plan for the re- ‘‘(C) any person, firm, association, or cor- Delta Regional Authority. gion (including 5-year regional outcome tar- poration; and ‘‘(2) COMPOSITION.—The Authority shall be gets); ‘‘(10) establish and maintain a central of- composed of— ‘‘(3) assess the needs and assets of the re- fice and field offices at such locations as the ‘‘(A) a Federal member, to be appointed by gion based on available research, demonstra- Authority may select. the President, with the advice and consent of tions, investigations, assessments, and eval- ‘‘(f) FEDERAL AGENCY COOPERATION.—A the Senate; and uations of the region prepared by Federal, Federal agency shall— ‘‘(B) the Governor (or a designee of the State, and local agencies, universities, local ‘‘(1) cooperate with the Authority; and Governor) of each State in the region that development districts, and other nonprofit ‘‘(2) provide, on request of the Federal co- elects to participate in the Authority. groups; chairperson, appropriate assistance in car- ‘‘(3) COCHAIRPERSONS.—The Authority shall ‘‘(4) formulate and recommend to the Gov- rying out this chapter, in accordance with be headed by— ernors and legislatures of States that par- applicable Federal laws (including regula- ‘‘(A) the Federal member, who shall serve ticipate in the Authority forms of interstate tions). as— cooperation; ‘‘(g) ADMINISTRATIVE EXPENSES.— ‘‘(i) the Federal cochairperson; and ‘‘(5) work with State and local agencies in ‘‘(1) IN GENERAL.—Administrative expenses ‘‘(ii) a liaison between the Federal Govern- developing appropriate model legislation; of the Authority (except for the expenses of ment and the Authority; and ‘‘(6)(A) enhance the capacity of, and pro- the Federal cochairperson, including ex- ‘‘(B) a State cochairperson, who shall be— vide support for, local development districts penses of the alternate and staff of the Fed- ‘‘(i) a Governor of a participating State in in the region; or eral cochairperson, which shall be paid sole- the region; and ‘‘(B) if no local development district exists ly by the Federal Government) shall be ‘‘(ii) elected by the State members for a in an area in a participating State in the re- paid— term of not less than 1 year. gion, foster the creation of a local develop- ‘‘(A) by the Federal Government, in an ‘‘(4) ALABAMA.—Notwithstanding any other ment district; amount equal to 50 percent of the adminis- provision of law, the State of Alabama shall ‘‘(7) encourage private investment in in- trative expenses; and be a full member of the Authority and shall dustrial, commercial, and other economic ‘‘(B) by the States in the region partici- be entitled to all rights and privileges that development projects in the region; and pating in the Authority, in an amount equal the membership affords to all other partici- ‘‘(8) cooperate with and assist State gov- to 50 percent of the administrative expenses. pating States in the Authority. ernments with economic development pro- ‘‘(2) STATE SHARE.— ‘‘(b) ALTERNATE MEMBERS.— grams of participating States. ‘‘(A) IN GENERAL.—The share of administra- ‘‘(1) STATE ALTERNATES.—The State mem- ‘‘(e) ADMINISTRATION.—In carrying out sub- tive expenses of the Authority to be paid by ber of a participating State may have a sin- section (d), the Authority may— each State shall be determined by the Au- gle alternate, who shall be— ‘‘(1) hold such hearings, sit and act at such thority. ‘‘(A) a resident of that State; and times and places, take such testimony, re- ‘‘(B) NO FEDERAL PARTICIPATION.—The Fed- ‘‘(B) appointed by the Governor of the ceive such evidence, and print or otherwise eral cochairperson shall not participate or State. reproduce and distribute a description of the vote in any decision under subparagraph (A).

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‘‘(C) DELINQUENT STATES.—If a State is de- ‘‘(i) CONFLICTS OF INTEREST.— ‘‘(A) entirely from appropriations to carry linquent in payment of the State’s share of ‘‘(1) IN GENERAL.—Except as provided under out this section; administrative expenses of the Authority paragraph (2), no State member, alternate, ‘‘(B) in combination with funds available under this subsection— officer, or employee of the Authority shall under another Federal or Federal grant pro- ‘‘(i) no assistance under this chapter shall participate personally and substantially as a gram; or be furnished to the State (including assist- member, alternate, officer, or employee of ‘‘(C) from any other source. ance to a political subdivision or a resident the Authority, through decision, approval, ‘‘(2) PRIORITY OF FUNDING.—To best build of the State); and disapproval, recommendation, the rendering the foundations for long-term economic de- ‘‘(ii) no member of the Authority from the of advice, investigation, or otherwise, in any velopment and to complement other Federal State shall participate or vote in any action proceeding, application, request for a ruling and State resources in the region, Federal by the Authority. or other determination, contract, claim, con- funds available under this chapter shall be ‘‘(h) COMPENSATION.— troversy, or other matter in which, to focused on the activities in the following ‘‘(1) FEDERAL COCHAIRPERSON.—The Federal knowledge of the member, alternate, officer, order or priority: cochairperson shall be compensated by the or employee, there is a financial interest of— ‘‘(A) Basic public infrastructure in dis- Federal Government at level III of the Exec- ‘‘(A) the member, alternate, officer, or em- tressed counties and isolated areas of dis- utive Schedule in subchapter II of chapter 53 ployee; tress. of title 5, United States Code. ‘‘(B) the spouse, minor child, partner, or ‘‘(B) Transportation infrastructure for the ‘‘(2) ALTERNATE FEDERAL COCHAIRPERSON.— organization (other than a State or political purpose of facilitating economic develop- The alternate Federal cochairperson— subdivision of the State) of the member, al- ment in the region. ‘‘(A) shall be compensated by the Federal ternate, officer, or employee, in which the ‘‘(C) Business development, with emphasis Government at level V of the Executive member, alternate, officer, or employee is on entrepreneurship. Schedule described in paragraph (1); and serving as officer, director, trustee, partner, ‘‘(D) Job training or employment-related ‘‘(B) when not actively serving as an alter- or employee; or education, with emphasis on use of existing nate for the Federal cochairperson, shall per- ‘‘(C) any person or organization with whom public educational institutions located in form such functions and duties as are dele- the member, alternate, officer, or employee the region. gated by the Federal cochairperson. is negotiating or has any arrangement con- ‘‘(3) STATE MEMBERS AND ALTERNATES.— cerning prospective employment. ‘‘SEC. 3804. SUPPLEMENTS TO FEDERAL GRANT ‘‘(A) IN GENERAL.—A State shall com- ‘‘(2) DISCLOSURE.—Paragraph (1) shall not PROGRAMS. pensate each member and alternate rep- apply if the State member, alternate, officer, ‘‘(a) FINDING.—Congress finds that certain resenting the State on the Authority at the or employee— States and local communities of the region, rate established by law of the State. ‘‘(A) immediately advises the Authority of including local development districts, may ‘‘(B) NO ADDITIONAL COMPENSATION.—No the nature and circumstances of the pro- be unable to take maximum advantage of State member or alternate member shall re- ceeding, application, request for a ruling or Federal grant programs for which the States ceive any salary, or any contribution to or other determination, contract, claim, con- supplementation of salary from any source and communities are eligible because— troversy, or other particular matter pre- ‘‘(1) the States or communities lack the other than the State for services provided by senting a potential conflict of interest; the member or alternate to the Authority. economic resources to provide the required ‘‘(B) makes full disclosure of the financial matching share; or ‘‘(4) DETAILED EMPLOYEES.— interest; and ‘‘(A) IN GENERAL.—No person detailed to ‘‘(2) there are insufficient funds available ‘‘(C) before the proceeding concerning the under the applicable Federal law authorizing serve the Authority under subsection (e)(6) matter presenting the conflict of interest, shall receive any salary or any contribution the Federal grant program to meet pressing receives a written determination by the Au- needs of the region. to or supplementation of salary for services thority that the interest is not so substan- provided to the Authority from— tial as to be likely to affect the integrity of ‘‘(b) FEDERAL GRANT PROGRAM FUNDING.— ‘‘(i) any source other than the State, local, the services that the Authority may expect Notwithstanding any provision of law lim- or intergovernmental department or agency from the State member, alternate, officer, or iting the Federal share, the areas eligible for from which the person was detailed; or employee. assistance, or the authorizations of appro- ‘‘(ii) the Authority. ‘‘(3) VIOLATION.—Any person that violates priations of any Federal grant program, and ‘‘(B) VIOLATION.—Any person that violates this subsection shall be fined not more than in accordance with subsection (c), the Au- this paragraph shall be fined not more than $10,000, imprisoned not more than 2 years, or thority, with the approval of the Federal co- $5,000, imprisoned not more than 1 year, or both. chairperson and with respect to a project to both. ‘‘(j) VALIDITY OF CONTRACTS, LOANS, AND be carried out in the region— ‘‘(C) APPLICABLE LAW.—The Federal co- GRANTS.—The Authority may declare void ‘‘(1) may increase the Federal share of the chairperson, the alternate Federal cochair- any contract, loan, or grant of or by the Au- person, and any Federal officer or employee costs of a project under the Federal grant thority in relation to which the Authority program to not more than 90 percent (except detailed to duty on the Authority under sub- determines that there has been a violation of section (e)(5) shall not be subject to subpara- as provided in section 3806(b)); and any provision under subsection (h)(4), sub- ‘‘(2) shall use amounts made available to graph (A), but shall remain subject to sec- section (i), or sections 202 through 209 of title tions 202 through 209 of title 18, United carry out this chapter to pay the increased 18, United States Code. Federal share. States Code. ‘‘SEC. 3803. ECONOMIC AND COMMUNITY DEVEL- ‘‘(5) ADDITIONAL PERSONNEL.— OPMENT GRANTS. ‘‘(c) CERTIFICATIONS.— ‘‘(A) COMPENSATION.— ‘‘(a) IN GENERAL.—The Authority may ap- ‘‘(1) IN GENERAL.—In the case of any ‘‘(i) IN GENERAL.—The Authority may ap- prove grants to States and public and non- project for which all or any portion of the point and fix the compensation of an execu- profit entities for projects, approved in ac- basic Federal share of the costs of the tive director and such other personnel as are cordance with section 3809— project is proposed to be paid under this sec- necessary to enable the Authority to carry ‘‘(1) to develop the transportation infra- tion, no Federal contribution shall be made out the duties of the Authority. structure of the region for the purpose of fa- until the Federal official administering the ‘‘(ii) EXCEPTION.—Compensation under cilitating economic development in the re- Federal law that authorizes the Federal clause (i) shall not exceed the maximum rate gion (except that grants for this purpose grant program certifies that the project— for the Senior Executive Service under sec- may only be made to a State or local govern- ‘‘(A) meets (except as provided in sub- tion 5382 of title 5, United States Code, in- ment); section (b)) the applicable requirements of cluding any applicable locality-based com- ‘‘(2) to assist the region in obtaining the the applicable Federal grant program; and parability payment that may be authorized job training, employment-related education, ‘‘(B) could be approved for Federal con- under section 5304(h)(2)(C) of that title. and business development (with an emphasis tribution under the Federal grant program if ‘‘(B) EXECUTIVE DIRECTOR.—The executive on entrepreneurship) that are needed to funds were available under the law for the director shall be responsible for— build and maintain strong local economies; project. ‘‘(i) the carrying out of the administrative ‘‘(3) to provide assistance to severely dis- ‘‘(2) CERTIFICATION BY AUTHORITY.— duties of the Authority; tressed and underdeveloped areas that lack ‘‘(A) IN GENERAL.—The certifications and ‘‘(ii) direction of the Authority staff; and financial resources for improving basic pub- determinations required to be made by the ‘‘(iii) such other duties as the Authority lic services; Authority for approval of projects under this may assign. ‘‘(4) to provide assistance to severely dis- Act in accordance with section 3809 shall ‘‘(C) NO FEDERAL EMPLOYEE STATUS.—No tressed and underdeveloped areas that lack be— member, alternate, officer, or employee of financial resources for equipping industrial ‘‘(i) controlling; and the Authority (except the Federal cochair- parks and related facilities; and ‘‘(ii) accepted by the Federal agencies. person of the Authority, the alternate and ‘‘(5) to otherwise achieve the purposes of ‘‘(B) ACCEPTANCE BY FEDERAL COCHAIR- staff for the Federal cochairperson, and any this chapter. PERSON.—In the case of any project described Federal employee detailed to the Authority ‘‘(b) FUNDING.— in paragraph (1), any finding, report, certifi- under subsection (e)(5)) shall be considered ‘‘(1) IN GENERAL.—Funds for grants under cation, or documentation required to be sub- to be a Federal employee for any purpose. subsection (a) may be provided— mitted with respect to the project to the

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LOCAL DEVELOPMENT DISTRICTS; planning; State may— CERTIFICATION AND ADMINISTRA- ‘‘(B) provide technical assistance to local ‘‘(1) consult with— TIVE EXPENSES. jurisdictions and potential grantees; and ‘‘(A) local development districts; and ‘‘(a) DEFINITION OF LOCAL DEVELOPMENT ‘‘(C) provide leadership and civic develop- ‘‘(B) local units of government; and DISTRICT.—In this section, the term ‘local ment assistance. ‘‘(2) take into consideration the goals, ob- development district’ means an entity that— ‘‘SEC. 3806. DISTRESSED COUNTIES AND AREAS jectives, priorities, and recommendations of ‘‘(1) is— AND NONDISTRESSED COUNTIES. the entities described in paragraph (1). ‘‘(A) a planning district in existence on the ‘‘(a) DESIGNATIONS.—Each year, the Au- ‘‘(d) PUBLIC PARTICIPATION.— date of enactment of the Agriculture Re- thority, in accordance with such criteria as ‘‘(1) IN GENERAL.—The Authority and appli- form, Food, and Jobs Act of 2012 that is rec- the Authority may establish, shall des- cable State and local development districts ognized by the Secretary; or ignate— shall encourage and assist, to the maximum ‘‘(B) if an entity described in subparagraph ‘‘(1) as distressed counties, counties in the extent practicable, public participation in (A) does not exist— region that are the most severely and per- the development, revision, and implementa- ‘‘(i) organized and operated in a manner sistently distressed and underdeveloped and tion of all plans and programs under this that ensures broad-based community partici- have high rates of poverty or unemployment; chapter. pation and an effective opportunity for other ‘‘(2) as nondistressed counties, counties in ‘‘(2) REGULATIONS.—The Authority shall nonprofit groups to contribute to the devel- the region that are not designated as dis- develop guidelines for providing public par- opment and implementation of programs in ticipation described in paragraph (1), includ- the region; tressed counties under paragraph (1); and ‘‘(3) as isolated areas of distress, areas lo- ing public hearings. ‘‘(ii) governed by a policy board with at ‘‘SEC. 3808. PROGRAM DEVELOPMENT CRITERIA. least a simple majority of members con- cated in nondistressed counties (as des- ignated under paragraph (2)) that have high ‘‘(a) IN GENERAL.—In considering programs sisting of elected officials or employees of a and projects to be provided assistance under general purpose unit of local government rates of poverty or unemployment. ‘‘(b) DISTRESSED COUNTIES.— this chapter and in establishing a priority who have been appointed to represent the ‘‘(1) IN GENERAL.—The Authority shall allo- ranking of the requests for assistance pro- government; cate at least 75 percent of the appropriations vided by the Authority, the Authority shall ‘‘(iii) certified to the Authority as having a made available under section 3813 for pro- follow procedures that ensure, to the max- charter or authority that includes the eco- grams and projects designed to serve the imum extent practicable, consideration of— nomic development of counties or parts of needs of distressed counties and isolated ‘‘(1) the relationship of the project or class counties or other political subdivisions with- areas of distress in the region. of projects to overall regional development; in the region— ‘‘(2) FUNDING LIMITATIONS.—The funding ‘‘(2) the per capita income and poverty and ‘‘(I) by the Governor of each State in which limitations under section 3804(b) shall not unemployment rates in an area; the entity is located; or apply to a project providing transportation ‘‘(3) the financial resources available to ‘‘(II) by the State officer designated by the or basic public services to residents of 1 or the applicants for assistance seeking to appropriate State law to make the certifi- more distressed counties or isolated areas of carry out the project, with emphasis on en- cation; and distress in the region. suring that projects are adequately financed ‘‘(iv)(I) a nonprofit incorporated body orga- ‘‘(c) NONDISTRESSED COUNTIES.— to maximize the probability of successful nized or chartered under the law of the State ‘‘(1) IN GENERAL.—Except as provided in economic development; in which the entity is located; this subsection, no funds shall be provided ‘‘(4) the importance of the project or class ‘‘(II) a nonprofit agency or instrumentality under this chapter for a project located in a of projects in relation to other projects or of a State or local government; county designated as a nondistressed county classes of projects that may be in competi- ‘‘(III) a public organization established be- under subsection (a)(2). tion for the same funds; fore December 21, 2000, under State law for ‘‘(2) EXCEPTIONS.— ‘‘(5) the prospects that the project for creation of multi-jurisdictional, area-wide ‘‘(A) IN GENERAL.—The funding prohibition which assistance is sought will improve, on a planning organizations; or under paragraph (1) shall not apply to grants continuing rather than a temporary basis, ‘‘(IV) a nonprofit association or combina- to fund the administrative expenses of local the opportunities for employment, the aver- tion of bodies, agencies, and instrumental- development districts under section 3805(b). age level of income, or the economic develop- ities described in subclauses (I) through (III); ‘‘(B) MULTICOUNTY PROJECTS.—The Author- ment of the area served by the project; and and ity may waive the application of the funding ‘‘(6) the extent to which the project design ‘‘(2) has not, as certified by the Federal co- prohibition under paragraph (1) to a multi- provides for detailed outcome measurements chairperson— county project that includes participation by by which grant expenditures and the results ‘‘(A) inappropriately used Federal grant a nondistressed county; or any other type of of the expenditures may be evaluated. funds from any Federal source; or O RELOCATION ASSISTANCE.— project if the Authority determines that the ‘‘(b) N ‘‘(B) appointed an officer who, during the ‘‘(1) IN GENERAL.—Except as provided in project could bring significant benefits to period in which another entity inappropri- paragraph (2), no financial assistance author- areas of the region outside a nondistressed ately used Federal grant funds from any Fed- ized by this chapter shall be used to assist a county. eral source, was an officer of the other enti- person or entity in relocating from 1 area to ‘‘(C) ISOLATED AREAS OF DISTRESS.—For a ty. designation of an isolated area of distress for another. ‘‘(b) GRANTS TO LOCAL DEVELOPMENT DIS- UTSIDE BUSINESSES.—Financial assist- assistance to be effective, the designation ‘‘(2) O TRICTS.— ance under this chapter may be used as oth- shall be supported— ‘‘(1) IN GENERAL.—The Authority shall erwise authorized by this title to attract ‘‘(i) by the most recent Federal data avail- make grants for administrative expenses businesses from outside the region to the re- able; or under this section. gion. ‘‘(ii) if no recent Federal data are avail- ‘‘(2) CONDITIONS FOR GRANTS.— ‘‘(c) REDUCTION OF FUNDS.—Funds may be able, by the most recent data available ‘‘(A) MAXIMUM AMOUNT.—The amount of provided for a program or project in a State any grant awarded under paragraph (1) shall through the government of the State in under this chapter only if the Authority de- not exceed 80 percent of the administrative which the isolated area of distress is located. termines that the level of Federal or State expenses of the local development district ‘‘(d) TRANSPORTATION AND BASIC PUBLIC IN- financial assistance provided under a law receiving the grant. FRASTRUCTURE.—The Authority shall allo- other than this chapter, for the same type of ‘‘(B) MAXIMUM PERIOD.—No grant described cate at least 50 percent of any funds made program or project in the same area of the in paragraph (1) shall be awarded to a State available under section 3813 for transpor- State within the region, will not be reduced agency certified as a local development dis- tation and basic public infrastructure as a result of funds made available by this trict for a period greater than 3 years. projects authorized under paragraphs (1) and chapter. (3) of section 3803(a). ‘‘(C) LOCAL SHARE.—The contributions of a ‘‘SEC. 3809. APPROVAL OF DEVELOPMENT PLANS local development district for administrative ‘‘SEC. 3807. DEVELOPMENT PLANNING PROCESS. AND PROJECTS. expenses may be in cash or in kind, fairly ‘‘(a) STATE DEVELOPMENT PLAN.—In ac- ‘‘(a) IN GENERAL.—A State or regional de- evaluated, including space, equipment, and cordance with policies established by the Au- velopment plan or any multistate sub- services. thority, each State member shall submit a regional plan that is proposed for develop- ‘‘(c) DUTIES OF LOCAL DEVELOPMENT DIS- development plan for the area of the region ment under this chapter shall be reviewed TRICTS.—A local development district shall— represented by the State member. and approved by the Authority. ‘‘(1) operate as a lead organization serving ‘‘(b) CONTENT OF PLAN.—A State develop- ‘‘(b) EVALUATION BY STATE MEMBER.—An multicounty areas in the region at the local ment plan submitted under subsection (a) application for a grant or any other assist- level; and shall reflect the goals, objectives, and prior- ance for a project under this chapter shall be

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made through and evaluated for approval by ‘‘(1) AUTHORITY.—The term ‘Authority’ ‘‘(B) QUORUM.—A State alternate member the State member of the Authority rep- means the Northern Great Plains Regional shall not be counted toward the establish- resenting the applicant. Authority established by section 3822. ment of a quorum of the members of the Au- ‘‘(c) CERTIFICATION.—An application for a ‘‘(2) FEDERAL GRANT PROGRAM.—The term thority in any case in which a quorum of the grant or other assistance for a project shall ‘Federal grant program’ means a Federal State members is required to be present. be approved only on certification by the grant program to provide assistance in— ‘‘(3) ALTERNATE TRIBAL COCHAIRPERSON.— State member that the application for the ‘‘(A) implementing the recommendations The President shall appoint an alternate project— of the Northern Great Plains Rural Develop- tribal cochairperson, by and with the advice ‘‘(1) describes ways in which the project ment Commission established by the North- and consent of the Senate. complies with any applicable State develop- ern Great Plains Rural Development Act (7 ‘‘(4) DELEGATION OF POWER.—No power or ment plan; U.S.C. 2661 note; Public Law 103–318); responsibility of the Authority specified in ‘‘(2) meets applicable criteria under section ‘‘(B) acquiring or developing land; paragraphs (2) and (3) of subsection (c), and 3808; ‘‘(C) constructing or equipping a highway, no voting right of any member of the Au- ‘‘(3) provides adequate assurance that the road, bridge, or facility; thority, shall be delegated to any person who proposed project will be properly adminis- ‘‘(D) carrying out other economic develop- is not— tered, operated, and maintained; and ment activities; or ‘‘(A) a member of the Authority; or ‘‘(4) otherwise meets the requirements of ‘‘(E) conducting research activities related ‘‘(B) entitled to vote in Authority meet- this chapter. to the activities described in subparagraphs ings. ‘‘(d) APPROVAL OF GRANT APPLICATIONS.— (A) through (D). On certification by a State member of the ‘‘(3) REGION.—The term ‘region’ means the ‘‘(c) VOTING.— Authority of an application for a grant or States of Iowa, Minnesota, Missouri (other ‘‘(1) IN GENERAL.—A decision by the Au- other assistance for a specific project under than counties included in the Delta Regional thority shall require a majority vote of the this section, an affirmative vote of the Au- Authority), Nebraska, North Dakota, and Authority (not including any member rep- thority under section 3802(c) shall be re- South Dakota. resenting a State that is delinquent under quired for approval of the application. ‘‘SEC. 3822. NORTHERN GREAT PLAINS REGIONAL subsection (g)(2)(D)) to be effective. ‘‘SEC. 3810. CONSENT OF STATES. AUTHORITY. ‘‘(2) QUORUM.—A quorum of State members ‘‘Nothing in this chapter requires any ‘‘(a) ESTABLISHMENT.— shall be required to be present for the Au- State to engage in or accept any program ‘‘(1) IN GENERAL.—There is established the thority to make any policy decision, includ- under this chapter without the consent of Northern Great Plains Regional Authority. ing— the State. ‘‘(2) COMPOSITION.—The Authority shall be ‘‘(A) a modification or revision of an Au- ‘‘SEC. 3811. RECORDS. composed of— thority policy decision; ‘‘(a) RECORDS OF THE AUTHORITY.— ‘‘(A) a Federal member, to be appointed by ‘‘(B) approval of a State or regional devel- ‘‘(1) IN GENERAL.—The Authority shall the President, by and with the advice and opment plan; and maintain accurate and complete records of consent of the Senate; ‘‘(C) any allocation of funds among the all transactions and activities of the Author- ‘‘(B) the Governor (or a designee of the States. ity. Governor) of each State in the region that ‘‘(3) PROJECT AND GRANT PROPOSALS.—The ‘‘(2) AVAILABILITY.—All records of the Au- elects to participate in the Authority; and approval of project and grant proposals shall thority shall be available for audit and ex- ‘‘(C) a member of an Indian tribe, who shall be— amination by the Comptroller General of the be a chairperson of an Indian tribe in the re- ‘‘(A) a responsibility of the Authority; and United States and the Inspector General of gion or a designee of such a chairperson, to ‘‘(B) conducted in accordance with section the Department of Agriculture (including au- be appointed by the President, by and with 3830. thorized representatives of the Comptroller the advice and consent of the Senate. ‘‘(4) VOTING BY ALTERNATE MEMBERS.—An General and the Inspector General of the De- ‘‘(3) COCHAIRPERSONS.—The Authority shall alternate member shall vote in the case of partment of Agriculture). be headed by— the absence, death, disability, removal, or ‘‘(b) RECORDS OF RECIPIENTS OF FEDERAL ‘‘(A) the Federal member, who shall serve resignation of the Federal, State, or Indian ASSISTANCE.— as— tribe member for whom the alternate mem- ‘‘(1) IN GENERAL.—A recipient of Federal ‘‘(i) the Federal cochairperson; and ber is an alternate. funds under this chapter shall, as required by ‘‘(ii) a liaison between the Federal Govern- ‘‘(d) DUTIES.—The Authority shall— the Authority, maintain accurate and com- ment and the Authority; plete records of transactions and activities ‘‘(B) a State cochairperson, who shall be— ‘‘(1) develop, on a continuing basis, com- financed with Federal funds and report on ‘‘(i) a Governor of a participating State in prehensive and coordinated plans and pro- the transactions and activities to the Au- the region; and grams for multistate cooperation to advance thority. ‘‘(ii) elected by the State members for a the economic and social well-being of the re- ‘‘(2) AVAILABILITY.—All records required term of not less than 1 year; and gion and to approve grants for the economic under paragraph (1) shall be available for ‘‘(C) the member of an Indian tribe, who development of the region, giving due con- audit by the Comptroller General of the shall serve as— sideration to other Federal, State, tribal, United States, the Inspector General of the ‘‘(i) the tribal cochairperson; and and local planning and development activi- Department of Agriculture, and the Author- ‘‘(ii) a liaison between the governments of ties in the region; ity (including authorized representatives of Indian tribes in the region and the Author- ‘‘(2) review, and when appropriate amend, the Comptroller General, the Inspector Gen- ity. priorities in a development plan for the re- eral of the Department of Agriculture, and ‘‘(4) FAILURE TO CONFIRM.— gion (including 5-year regional outcome tar- the Authority). ‘‘(A) FEDERAL MEMBER.—Notwithstanding gets); ‘‘SEC. 3812. ANNUAL REPORT. any other provision of this section, if a Fed- ‘‘(3) assess the needs and assets of the re- ‘‘Not later than 180 days after the end of eral member described in paragraph (2)(A) gion based on available research, demonstra- each fiscal year, the Authority shall submit has not been confirmed by the Senate by not tions, investigations, assessments, and eval- to the President and to Congress a report de- later than 180 days after the date of enact- uations of the region prepared by Federal, scribing the activities carried out under this ment of the Agriculture Reform, Food, and State, tribal, and local agencies, univer- chapter. Jobs Act of 2012, the Authority may organize sities, regional and local development dis- ‘‘SEC. 3813. AUTHORIZATION OF APPROPRIA- and operate without the Federal member. tricts or organizations, and other nonprofit TIONS. ‘‘(B) TRIBAL COCHAIRPERSON.—In the case of groups; ‘‘(a) IN GENERAL.—There is authorized to the tribal cochairperson, if no tribal cochair- ‘‘(4) formulate and recommend to the Gov- be appropriated to the Authority to carry person is confirmed by the Senate, the re- ernors and legislatures of States that par- out this chapter $30,000,000 for each of fiscal gional authority shall consult and coordi- ticipate in the Authority forms of interstate years 2012 through 2017, to remain available nate with the leaders of Indian tribes in the cooperation for— until expended. region concerning the activities of the Au- ‘‘(A) renewable energy development and ‘‘(b) ADMINISTRATIVE EXPENSES.—Not more thority, as appropriate. transmission; than 5 percent of the amount appropriated ‘‘(b) ALTERNATE MEMBERS.— ‘‘(B) transportation planning and economic under subsection (a) for a fiscal year shall be ‘‘(1) ALTERNATE FEDERAL COCHAIRPERSON.— development; used for administrative expenses of the Au- The President shall appoint an alternate ‘‘(C) information technology; thority. Federal cochairperson. ‘‘(D) movement of freight and individuals ‘‘SEC. 3814. TERMINATION OF AUTHORITY. ‘‘(2) STATE ALTERNATES.— within the region; ‘‘This chapter and the authority provided ‘‘(A) IN GENERAL.—The State member of a ‘‘(E) federally-funded research at institu- under this chapter expire on October 1, 2017. participating State may have a single alter- tions of higher education; and ‘‘CHAPTER 5—NORTHERN GREAT PLAINS nate, who shall be— ‘‘(F) conservation land management; REGIONAL AUTHORITY ‘‘(i) a resident of that State; and ‘‘(5) work with State, tribal, and local ‘‘SEC. 3821. DEFINITIONS. ‘‘(ii) appointed by the Governor of the agencies in developing appropriate model ‘‘In this chapter: State. legislation;

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00138 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4069 ‘‘(6) enhance the capacity of, and provide ‘‘(B) for fiscal year 2014, 75 percent; and necessary to enable the Authority to carry support for, multistate development and re- ‘‘(C) for fiscal year 2015 and each fiscal out the duties of the Authority. search organizations, local development or- year thereafter, 50 percent. ‘‘(ii) EXCEPTION.—Compensation under ganizations and districts, and resource con- ‘‘(2) NON-FEDERAL SHARE.— clause (i) shall not exceed the maximum rate servation districts in the region; ‘‘(A) IN GENERAL.—The non-Federal share for the Senior Executive Service under sec- ‘‘(7) encourage private investment in in- of the administrative expenses of the Au- tion 5382 of title 5, United States Code, in- dustrial, commercial, renewable energy, and thority shall be paid by non-Federal sources cluding any applicable locality-based com- other economic development projects in the in the States that participate in the Author- parability payment that may be authorized region; and ity. under section 5304(h)(2)(C) of that title. ‘‘(8) cooperate with and assist State gov- ‘‘(B) SHARE PAID BY EACH STATE.—The ‘‘(B) EXECUTIVE DIRECTOR.—The executive ernments with economic development pro- share of administrative expenses of the Au- director shall be responsible for— grams of participating States. thority to be paid by non-Federal sources in ‘‘(i) the carrying out of the administrative ‘‘(e) ADMINISTRATION.—In carrying out sub- each State shall be determined by the Au- section (d), the Authority may— thority. duties of the Authority; ‘‘(1) hold such hearings, sit and act at such ‘‘(C) NO FEDERAL PARTICIPATION.—The Fed- ‘‘(ii) direction of the Authority staff; and times and places, take such testimony, re- eral cochairperson shall not participate or ‘‘(iii) such other duties as the Authority ceive such evidence, and print or otherwise vote in any decision under subparagraph (B). may assign. reproduce and distribute a description of the ‘‘(D) DELINQUENT STATES.—If a State is de- ‘‘(C) NO FEDERAL EMPLOYEE STATUS.—No proceedings and reports on actions by the linquent in payment of the State’s share of member, alternate, officer, or employee of Authority as the Authority considers appro- administrative expenses of the Authority the Authority (except the Federal cochair- priate; under this subsection— person of the Authority, the alternate and ‘‘(2) authorize, through the Federal, State, ‘‘(i) no assistance under this chapter shall staff for the Federal cochairperson, and any or tribal cochairperson or any other member be provided to the State (including assist- Federal employee detailed to the Authority of the Authority designated by the Author- ance to a political subdivision or a resident under subsection (e)(5)) shall be considered ity, the administration of oaths if the Au- of the State); and to be a Federal employee for any purpose. thority determines that testimony should be ‘‘(ii) no member of the Authority from the taken or evidence received under oath; State shall participate or vote in any action ‘‘(i) CONFLICTS OF INTEREST.— ‘‘(3) request from any Federal, State, trib- by the Authority. ‘‘(1) IN GENERAL.—Except as provided under al, or local agency such information as may ‘‘(h) COMPENSATION.— paragraph (2), no State member, Indian tribe be available to or procurable by the agency ‘‘(1) FEDERAL AND TRIBAL COCHAIR- member, State alternate, officer, or em- that may be of use to the Authority in car- PERSONS.—The Federal cochairperson and ployee of the Authority shall participate per- rying out the duties of the Authority; the tribal cochairperson shall be com- sonally and substantially as a member, al- ‘‘(4) adopt, amend, and repeal bylaws and pensated by the Federal Government at the ternate, officer, or employee of the Author- rules governing the conduct of business and annual rate of basic pay prescribed for level ity, through decision, approval, disapproval, the performance of duties of the Authority; III of the Executive Schedule in subchapter recommendation, the rendering of advice, in- ‘‘(5) request the head of any Federal agen- II of chapter 53 of title 5, United States Code. vestigation, or otherwise, in any proceeding, cy to detail to the Authority such personnel ‘‘(2) ALTERNATE FEDERAL AND TRIBAL CO- application, request for a ruling or other de- as the Authority requires to carry out duties CHAIRPERSONS.—The alternate Federal co- termination, contract, claim, controversy, or of the Authority, each such detail to be chairperson and the alternate tribal cochair- other matter in which, to knowledge of the without loss of seniority, pay, or other em- person— member, alternate, officer, or employee, ployee status; ‘‘(A) shall be compensated by the Federal there is a financial interest of— ‘‘(6) request the head of any State agency, Government at the annual rate of basic pay ‘‘(A) the member, alternate, officer, or em- prescribed for level V of the Executive tribal government, or local government to ployee; Schedule described in paragraph (1); and detail to the Authority such personnel as the ‘‘(B) the spouse, minor child, partner, or Authority requires to carry out duties of the ‘‘(B) when not actively serving as an alter- organization (other than a State or political Authority, each such detail to be without nate, shall perform such functions and duties subdivision of the State or the Indian tribe) loss of seniority, pay, or other employee sta- as are delegated by the Federal cochair- of the member, alternate, officer, or em- tus; person or the tribal cochairperson, respec- ‘‘(7) provide for coverage of Authority em- tively. ployee, in which the member, alternate, offi- ployees in a suitable retirement and em- ‘‘(3) STATE MEMBERS AND ALTERNATES.— cer, or employee is serving as officer, direc- ployee benefit system by— ‘‘(A) IN GENERAL.—A State shall com- tor, trustee, partner, or employee; or ‘‘(A) making arrangements or entering pensate each member and alternate rep- ‘‘(C) any person or organization with whom into contracts with any participating State resenting the State on the Authority at the the member, alternate, officer, or employee government or tribal government; or rate established by State law. is negotiating or has any arrangement con- ‘‘(B) otherwise providing retirement and ‘‘(B) NO ADDITIONAL COMPENSATION.—No cerning prospective employment. other employee benefit coverage; State member or alternate member shall re- ‘‘(2) DISCLOSURE.—Paragraph (1) shall not ‘‘(8) accept, use, and dispose of gifts or do- ceive any salary, or any contribution to or apply if the State member, Indian tribe nations of services or real, personal, tan- supplementation of salary from any source member, alternate, officer, or employee— gible, or intangible property; other than the State for services provided by ‘‘(A) immediately advises the Authority of ‘‘(9) enter into and perform such contracts, the member or alternate member to the Au- the nature and circumstances of the pro- leases, cooperative agreements, or other thority. ceeding, application, request for a ruling or transactions as are necessary to carry out ‘‘(4) DETAILED EMPLOYEES.— other determination, contract, claim, con- Authority duties, including any contracts, ‘‘(A) IN GENERAL.—No person detailed to troversy, or other particular matter pre- leases, or cooperative agreements with— serve the Authority under subsection (e)(6) senting a potential conflict of interest; ‘‘(A) any department, agency, or instru- shall receive any salary or any contribution ‘‘(B) makes full disclosure of the financial to or supplementation of salary for services mentality of the United States; interest; and provided to the Authority from— ‘‘(B) any State (including a political sub- ‘‘(C) before the proceeding concerning the ‘‘(i) any source other than the State, trib- division, agency, or instrumentality of the matter presenting the conflict of interest, al, local, or intergovernmental agency from State); receives a written determination by the Au- ‘‘(C) any Indian tribe in the region; or which the person was detailed; or ‘‘(ii) the Authority. thority that the interest is not so substan- ‘‘(D) any person, firm, association, or cor- tial as to be likely to affect the integrity of poration; and ‘‘(B) VIOLATION.—Any person that violates the services that the Authority may expect ‘‘(10) establish and maintain a central of- this paragraph shall be fined not more than from the State member, Indian tribe mem- fice and field offices at such locations as the $5,000, imprisoned not more than 1 year, or ber, alternate, officer, or employee. Authority may select. both. ‘‘(f) FEDERAL AGENCY COOPERATION.—A ‘‘(C) APPLICABLE LAW.—The Federal co- ‘‘(3) VIOLATION.—Any person that violates Federal agency shall— chairperson, the alternate Federal cochair- this subsection shall be fined not more than ‘‘(1) cooperate with the Authority; and person, and any Federal officer or employee $10,000, imprisoned not more than 2 years, or ‘‘(2) provide, on request of a cochairperson, detailed to duty on the Authority under sub- both. appropriate assistance in carrying out this section (e)(5) shall not be subject to subpara- ‘‘(j) VALIDITY OF CONTRACTS, LOANS, AND graph (A), but shall remain subject to sec- chapter, in accordance with applicable Fed- GRANTS.—The Authority may declare void tions 202 through 209 of title 18, United eral laws (including regulations). any contract, loan, or grant of or by the Au- ‘‘(g) ADMINISTRATIVE EXPENSES.— States Code. thority in relation to which the Authority ‘‘(1) FEDERAL SHARE.—The Federal share of ‘‘(5) ADDITIONAL PERSONNEL.— the administrative expenses of the Authority ‘‘(A) COMPENSATION.— determines that there has been a violation of shall be— ‘‘(i) IN GENERAL.—The Authority may ap- any provision under subsection (h)(4) or sub- ‘‘(A) for each of fiscal years 2012 and 2013, point and fix the compensation of an execu- section (i) of this chapter, or sections 202 100 percent; tive director and such other personnel as are through 209 of title 18, United States Code.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00139 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4070 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘SEC. 3823. INTERSTATE COOPERATION FOR ECO- public educational institutions located in ‘‘(ii) a nonprofit incorporated body orga- NOMIC OPPORTUNITY AND EFFI- the region. nized or chartered under the law of the State CIENCY. ‘‘SEC. 3825. SUPPLEMENTS TO FEDERAL GRANT in which the entity is located; ‘‘(a) IN GENERAL.—The Authority shall pro- PROGRAMS. ‘‘(iii) a nonprofit agency or instrumen- vide assistance to States in developing re- ‘‘(a) FINDING.—Congress finds that certain tality of a State or local government; gional plans to address multistate economic States and local communities of the region ‘‘(iv) a public organization established be- issues, including plans— may be unable to take maximum advantage fore the date of enactment of the Agriculture ‘‘(1) to develop a regional transmission sys- of Federal grant programs for which the Reform, Food, and Jobs Act of 2012 under tem for movement of renewable energy to States and communities are eligible be- State law for creation of multijurisdictional, markets outside the region; cause— area-wide planning organizations; ‘‘(2) to address regional transportation ‘‘(1) the States and communities lack the ‘‘(v) a nonprofit agency or instrumentality concerns, including the establishment of a economic resources to provide the required of a State that was established for the pur- Northern Great Plains Regional Transpor- matching share; or pose of assisting with multistate coopera- tation Working Group; ‘‘(2) there are insufficient funds available tion; or ‘‘(3) to encourage and support interstate under the applicable Federal law authorizing ‘‘(vi) a nonprofit association or combina- collaboration on federally-funded research the Federal grant program to meet pressing tion of bodies, agencies, and instrumental- that is in the national interest; and needs of the region. ities described in clauses (ii) through (v); and ‘‘(4) to establish a Regional Working Group ‘‘(b) FEDERAL GRANT PROGRAM FUNDING.— ‘‘(2) that has not, as certified by the Au- on Agriculture Development and Transpor- Notwithstanding any provision of law lim- thority (in consultation with the Federal co- tation. iting the Federal share, the areas eligible for chairperson or Secretary, as appropriate)— ‘‘(b) ECONOMIC ISSUES.—The multistate assistance, or the authorizations of appro- ‘‘(A) inappropriately used Federal grant economic issues referred to in subsection (a) priations, under any Federal grant program, funds from any Federal source; or shall include— and in accordance with subsection (c), the ‘‘(B) appointed an officer who, during the ‘‘(1) renewable energy development and Authority, with the approval of the Federal period in which another entity inappropri- transmission; cochairperson and with respect to a project ately used Federal grant funds from any Fed- ‘‘(2) transportation planning and economic to be carried out in the region— eral source, was an officer of the other enti- development; ‘‘(1) may increase the Federal share of the ty. ‘‘(3) information technology; costs of a project under any Federal grant ‘‘(b) GRANTS TO MULTISTATE, LOCAL, OR RE- ‘‘(4) movement of freight and individuals program to not more than 90 percent (except GIONAL DEVELOPMENT DISTRICTS AND ORGANI- within the region; as provided in section 3827(b)); and ZATIONS.— ‘‘(5) federally-funded research at institu- ‘‘(2) shall use amounts made available to ‘‘(1) IN GENERAL.—The Authority may tions of higher education; and carry out this chapter to pay the increased make grants for administrative expenses ‘‘(6) conservation land management. Federal share. under this section to multistate, local, and ‘‘SEC. 3824. ECONOMIC AND COMMUNITY DEVEL- ‘‘(c) CERTIFICATIONS.— regional development districts and organiza- OPMENT GRANTS. ‘‘(1) IN GENERAL.—In the case of any tions. ‘‘(a) IN GENERAL.—The Authority may ap- project for which all or any portion of the ‘‘(2) CONDITIONS FOR GRANTS.— prove grants to States, Indian tribes, local basic Federal share of the costs of the ‘‘(A) MAXIMUM AMOUNT.—The amount of governments, and public and nonprofit orga- project is proposed to be paid under this sec- any grant awarded under paragraph (1) shall nizations for projects, approved in accord- tion, no Federal contribution shall be made not exceed 80 percent of the administrative ance with section 3830— until the Federal official administering the expenses of the multistate, local, or regional ‘‘(1) to assist the region in obtaining the Federal law that authorizes the Federal development district or organization receiv- job training, employment-related education, grant program certifies that the project— ing the grant. and business development (with an emphasis ‘‘(A) meets (except as provided in sub- ‘‘(B) MAXIMUM PERIOD.—No grant described on entrepreneurship) that are needed to section (b)) the applicable requirements of in paragraph (1) shall be awarded for a period build and maintain strong local economies; the applicable Federal grant program; and of greater than 3 years. ‘‘(2) to develop the transportation, renew- ‘‘(B) could be approved for Federal con- ‘‘(3) LOCAL SHARE.—The contributions of a able energy transmission, and telecommuni- tribution under the Federal grant program if multistate, local, or regional development cation infrastructure of the region for the funds were available under the law for the district or organization for administrative purpose of facilitating economic develop- project. expenses may be in cash or in kind, fairly ment in the region (except that grants for ‘‘(2) CERTIFICATION BY AUTHORITY.— evaluated, including space, equipment, and this purpose may be made only to States, In- ‘‘(A) IN GENERAL.—The certifications and services. dian tribes, local governments, and nonprofit determinations required to be made by the ‘‘(c) DUTIES.— organizations); Authority for approval of projects under this ‘‘(1) IN GENERAL.—Except as provided in ‘‘(3) to provide assistance to severely dis- Act in accordance with section 3830 shall paragraph (2), a local development district tressed and underdeveloped areas that lack be— shall operate as a lead organization serving financial resources for improving basic pub- ‘‘(i) controlling; and multicounty areas in the region at the local lic services; ‘‘(ii) accepted by the Federal agencies. level. ‘‘(4) to provide assistance to severely dis- ‘‘(B) ACCEPTANCE BY FEDERAL COCHAIR- ‘‘(2) DESIGNATION.—The Federal cochair- tressed and underdeveloped areas that lack PERSON.—In the case of any project described person may designate an Indian tribe or financial resources for equipping industrial in paragraph (1), any finding, report, certifi- multijurisdictional organization to serve as parks and related facilities; and cation, or documentation required to be sub- a lead organization in such cases as the Fed- ‘‘(5) to otherwise achieve the purposes of mitted with respect to the project to the eral cochairperson or Secretary, as appro- this chapter. head of the department, agency, or instru- priate, determines appropriate. ‘‘(b) FUNDING.— mentality of the Federal Government re- ‘‘(d) NORTHERN GREAT PLAINS INC.—North- ‘‘(1) IN GENERAL.—Funds for grants under sponsible for the administration of the Fed- ern Great Plains Inc., a nonprofit corpora- subsection (a) may be provided— eral grant program under which the project tion incorporated in the State of Minnesota ‘‘(A) entirely from appropriations to carry is carried out shall be accepted by the Fed- to implement the recommendations of the out this section; eral cochairperson. ‘‘(B) in combination with funds available Northern Great Plains Rural Development ‘‘SEC. 3826. MULTISTATE AND LOCAL DEVELOP- Commission established by the Northern under another Federal grant program; or MENT DISTRICTS AND ORGANIZA- ‘‘(C) from any other source. TIONS AND NORTHERN GREAT Great Plains Rural Development Act (7 ‘‘(2) PRIORITY OF FUNDING.—To best build PLAINS INC. U.S.C. 2661 note; Public Law 103–318)— the foundations for long-term economic de- ‘‘(a) DEFINITION OF MULTISTATE AND LOCAL ‘‘(1) shall serve as an independent, primary velopment and to complement other Federal, DEVELOPMENT DISTRICT OR ORGANIZATION.— resource for the Authority on issues of con- State, and tribal resources in the region, In this section, the term ‘multistate and cern to the region; Federal funds available under this chapter local development district or organization’ ‘‘(2) shall advise the Authority on develop- shall be focused on the following activities: means an entity— ment of international trade; ‘‘(A) Basic public infrastructure in dis- ‘‘(1) that— ‘‘(3) may provide research, education, tressed counties and isolated areas of dis- ‘‘(A) is a planning district that is recog- training, and other support to the Authority; tress. nized by the Economic Development Admin- and ‘‘(B) Transportation and telecommuni- istration of the Department of Commerce; or ‘‘(4) may carry out other activities on its cation infrastructure for the purpose of fa- ‘‘(B) is— own behalf or on behalf of other entities. cilitating economic development in the re- ‘‘(i) organized and operated in a manner ‘‘SEC. 3827. DISTRESSED COUNTIES AND AREAS gion. that ensures broad-based community partici- AND NONDISTRESSED COUNTIES. ‘‘(C) Business development, with emphasis pation and an effective opportunity for other ‘‘(a) DESIGNATIONS.—Each year, the Au- on entrepreneurship. nonprofit groups to contribute to the devel- thority, in accordance with such criteria as ‘‘(D) Job training or employment-related opment and implementation of programs in the Authority may establish, shall des- education, with emphasis on use of existing the region; ignate—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00140 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4071 ‘‘(1) as distressed counties, counties in the carry out the project, with emphasis on en- amination by the Comptroller General of the region that are the most severely and per- suring that projects are adequately financed United States and the Inspector General of sistently distressed and underdeveloped and to maximize the probability of successful the Department of Agriculture (including au- have high rates of poverty, unemployment, economic development; thorized representatives of the Comptroller or outmigration; ‘‘(4) the importance of the project or class General and the Inspector General of the De- ‘‘(2) as nondistressed counties, counties in of projects in relation to other projects or partment of Agriculture). the region that are not designated as dis- classes of projects that may be in competi- ‘‘(b) RECORDS OF RECIPIENTS OF FEDERAL tressed counties under paragraph (1); and tion for the same funds; ASSISTANCE.— ‘‘(3) as isolated areas of distress, areas lo- ‘‘(5) the prospects that the project for ‘‘(1) IN GENERAL.—A recipient of Federal cated in nondistressed counties (as des- which assistance is sought will improve, on a funds under this chapter shall, as required by ignated under paragraph (2)) that have high continuing rather than a temporary basis, the Authority, maintain accurate and com- rates of poverty, unemployment, or out- the opportunities for employment, the aver- plete records of transactions and activities migration. age level of income, or the economic develop- financed with Federal funds and report to ‘‘(b) DISTRESSED COUNTIES.— ment of the area to be served by the project; the Authority on the transactions and ac- ‘‘(1) IN GENERAL.—The Authority shall allo- and tivities to the Authority. cate at least 50 percent of the appropriations ‘‘(6) the extent to which the project design ‘‘(2) AVAILABILITY.—All records required made available under section 3834 for pro- provides for detailed outcome measurements under paragraph (1) shall be available for grams and projects designed to serve the by which grant expenditures and the results audit by the Comptroller General of the needs of distressed counties and isolated of the expenditures may be evaluated. United States, the Inspector General of the areas of distress in the region. ‘‘(b) NO RELOCATION ASSISTANCE.— Department of Agriculture, and the Author- ‘‘(2) FUNDING LIMITATIONS.—The funding ‘‘(1) IN GENERAL.—Except as provided in ity (including authorized representatives of limitations under section 3825(b) shall not paragraph (2), no financial assistance author- the Comptroller General, the Inspector Gen- apply to a project to provide transportation ized by this chapter shall be used to assist a eral of the Department of Agriculture, and or telecommunication or basic public serv- person or entity in relocating from 1 area to the Authority). ices to residents of 1 or more distressed another. ‘‘(c) ANNUAL AUDIT.—The Inspector Gen- counties or isolated areas of distress in the ‘‘(2) OUTSIDE BUSINESSES.—Financial assist- eral of the Department of Agriculture shall region. ance under this chapter may be used as oth- audit the activities, transactions, and ‘‘(c) TRANSPORTATION, TELECOMMUNICATION, erwise authorized by this title to attract records of the Authority on an annual basis. RENEWABLE ENERGY, AND BASIC PUBLIC IN- businesses from outside the region to the re- ‘‘SEC. 3833. ANNUAL REPORT. FRASTRUCTURE.—The Authority shall allo- gion. ‘‘Not later than 180 days after the end of cate at least 50 percent of any funds made ‘‘(c) MAINTENANCE OF EFFORT.—Funds may each fiscal year, the Authority shall submit available under section 3834 for transpor- be provided for a program or project in a to the President and to Congress a report de- tation, telecommunication, renewable en- State under this chapter only if the Author- scribing the activities carried out under this ity determines that the level of Federal or ergy, and basic public infrastructure projects chapter. authorized under paragraphs (1) and (3) of State financial assistance provided under a law other than this chapter, for the same ‘‘SEC. 3834. AUTHORIZATION OF APPROPRIA- section 3824(a). TIONS. ‘‘SEC. 3828. DEVELOPMENT PLANNING PROCESS. type of program or project in the same area of the State within the region, will not be re- ‘‘(a) IN GENERAL.—There is authorized to ‘‘(a) STATE DEVELOPMENT PLAN.—In ac- be appropriated to the Authority to carry cordance with policies established by the Au- duced as a result of funds made available by this chapter. out this chapter $30,000,000 for each of fiscal thority, each State member shall submit a years 2012 through 2017, to remain available development plan for the area of the region ‘‘SEC. 3830. APPROVAL OF DEVELOPMENT PLANS AND PROJECTS. until expended. represented by the State member. ‘‘(a) IN GENERAL.—A State or regional de- ‘‘(b) ADMINISTRATIVE EXPENSES.—Not more ‘‘(b) CONTENT OF PLAN.—A State develop- velopment plan or any multistate sub- than 5 percent of the amount appropriated ment plan submitted under subsection (a) regional plan that is proposed for develop- under subsection (a) for a fiscal year shall be shall reflect the goals, objectives, and prior- ment under this chapter shall be reviewed by used for administrative expenses of the Au- ities identified in the regional development the Authority. thority. plan developed under section 3823(d)(2). ‘‘(b) EVALUATION BY STATE MEMBER.—An ‘‘(c) MINIMUM STATE SHARE OF GRANTS.— ‘‘(c) CONSULTATION WITH INTERESTED LOCAL application for a grant or any other assist- Notwithstanding any other provision of this PARTIES.—In carrying out the development ance for a project under this chapter shall be chapter, for any fiscal year, the aggregate planning process (including the selection of made through and evaluated for approval by amount of grants received by a State and all programs and projects for assistance), a the State member of the Authority rep- persons or entities in the State under this State may— resenting the applicant. chapter shall be not less than 1⁄3 of the prod- ‘‘(1) consult with— ‘‘(c) CERTIFICATION.—An application for a uct obtained by multiplying— ‘‘(A) multistate, regional, and local devel- grant or other assistance for a project shall ‘‘(1) the aggregate amount of grants under opment districts and organizations; and be approved only on certification by the this chapter for the fiscal year; and ‘‘(B) local units of government; and State member that the application for the ‘‘(2) the ratio that— ‘‘(2) take into consideration the goals, ob- project— ‘‘(A) the population of the State (as deter- jectives, priorities, and recommendations of ‘‘(1) describes ways in which the project mined by the Secretary of Commerce based the entities described in paragraph (1). complies with any applicable State develop- on the most recent decennial census for ‘‘(d) PUBLIC PARTICIPATION.— ment plan; which data are available); bears to ‘‘(1) IN GENERAL.—The Authority and appli- ‘‘(2) meets applicable criteria under section ‘‘(B) the population of the region (as so de- cable multistate, regional, and local develop- 3829; termined). ment districts and organizations shall en- ‘‘(3) provides adequate assurance that the ‘‘SEC. 3835. TERMINATION OF AUTHORITY. courage and assist, to the maximum extent proposed project will be properly adminis- ‘‘The authority provided by this chapter practicable, public participation in the de- tered, operated, and maintained; and terminates effective October 1, 2017. velopment, revision, and implementation of ‘‘(4) otherwise meets the requirements of ‘‘Subtitle C—General Provisions all plans and programs under this chapter. this chapter. ‘‘(2) REGULATIONS.—The Authority shall ‘‘(d) VOTES FOR DECISIONS.—On certifi- ‘‘SEC. 3901. FULL FAITH AND CREDIT. develop guidelines for providing public par- cation by a State member of the Authority ‘‘(a) IN GENERAL.—A contract of insurance ticipation described in paragraph (1), includ- of an application for a grant or other assist- or guarantee executed by the Secretary ing public hearings. ance for a specific project under this section, under this title shall be an obligation sup- ‘‘SEC. 3829. PROGRAM DEVELOPMENT CRITERIA. an affirmative vote of the Authority under ported by the full faith and credit of the ‘‘(a) IN GENERAL.—In considering programs section 3822(c) shall be required for approval United States. and projects to be provided assistance under of the application. ‘‘(b) CONTESTABILITY.—A contract of insur- this chapter, and in establishing a priority ‘‘SEC. 3831. CONSENT OF STATES. ance or guarantee executed by the Secretary ranking of the requests for assistance pro- ‘‘ ‘‘Nothing in this chapter requires any under this title shall be incontestable except vided to the Authority, the Authority shall State to engage in or accept any program for fraud or misrepresentation that the lend- follow procedures that ensure, to the max- under this chapter without the consent of er or any holder— imum extent practicable, consideration of— the State. ‘‘(1) has actual knowledge of at the time ‘‘(1) the relationship of the project or class ‘‘SEC. 3832. RECORDS. the contract of insurance or guarantee is ex- of projects to overall multistate or regional ‘‘(a) RECORDS OF THE AUTHORITY.— ecuted; or development; ‘‘(1) IN GENERAL.—The Authority shall ‘‘(2) participates in or condones. ‘‘(2) the per capita income and poverty and maintain accurate and complete records of ‘‘SEC. 3902. PURCHASE AND SALE OF GUARAN- unemployment and outmigration rates in an all transactions and activities of the Author- TEED PORTIONS OF LOANS. area; ity. ‘‘(a) IN GENERAL.—Subject to subsections ‘‘(3) the financial resources available to ‘‘(2) AVAILABILITY.—All records of the Au- (b) and (c), the Secretary may purchase, on the applicants for assistance seeking to thority shall be available for audit and ex- such terms and conditions as the Secretary

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00141 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4072 CONGRESSIONAL RECORD — SENATE June 12, 2012 considers appropriate, the guaranteed por- amount of principal and interest that the bursement of all periodic payments, prepay- tion of a loan guaranteed under this title, if prepaid loan represents in the pool. ments, and default funds from lenders, to or the Secretary determines that an adequate ‘‘(F) INTEREST ACCRUAL.—Interest on pre- from the reserve fund that the Secretary secondary market is not available in the pri- paid or defaulted loans shall accrue and be shall establish to enable the timely payment vate sector. guaranteed by the Secretary only through guarantee to be self-funding, and from all ‘‘(b) MAXIMUM PAYMENT.—The Secretary the date of payment on the guarantee. beneficial holders; and may not pay for any guaranteed portion of a ‘‘(G) REDEMPTION.—During the term of the ‘‘(vi) regulate market makers in pool cer- loan under subsection (a) in excess of an pool certificate, the certificate may be called tificates sold under this subsection. amount equal to the unpaid principal bal- for redemption due to prepayment or default ‘‘(B) DEFINITION OF SELLER.—For purposes ance and accrued interest on the guaranteed of all loans constituting the pool. of subparagraph (A)(ii), if the instrument portion of the loan. ‘‘(H) FULL FAITH AND CREDIT.—The full being sold is a loan, the term ‘seller’ does ‘‘(c) SOURCES OF FUNDING.—The Secretary faith and credit of the United States is not include— may use for the purchases— pledged to the payment of all amounts that ‘‘(i) the person who made the loan; or ‘‘(1) funds from the Rural Development In- may be required to be paid under any guar- surance Fund with respect to rural develop- ‘‘(ii) any person who sells 3 or fewer guar- antee of the pool certificates issued by ap- anteed loans per year. ment loans (as defined in section 3704(a)); proved market makers under this subsection. and ‘‘(4) CONTRACT FOR SERVICES.—The Sec- ‘‘(I) FEES.— retary may contract for goods and services ‘‘(2) funds from the Agricultural Credit In- ‘‘(i) IN GENERAL.—The Secretary shall not surance Fund with respect to all other loans to be used for the purposes of this subsection collect any fee for any guarantee under this without regard to titles 5, 40, and 41, United under this title. subsection. ‘‘(d) SALE OF GUARANTEED LOANS.— States Code (including any regulations ‘‘(ii) SECRETARIAL FUNCTIONS.—Clause (i) issued under those titles). ‘‘(1) SALES.— does not preclude the Secretary from col- ‘‘(A) REGULATION.— lecting a fee for the functions described in ‘‘SEC. 3903. ADMINISTRATION. ‘‘(i) IN GENERAL.—The guaranteed portion paragraph (3). of any loan made under this title may be ‘‘(a) POWERS OF SECRETARY.—The Sec- ‘‘(J) DEFAULT.—Not later than 30 days retary may— sold by the lender, and by any subsequent after a borrower of a guaranteed loan is in holder, in accordance with such regulations default of any principal or interest payment ‘‘(1)(A) administer the powers and duties of governing the sales as the Secretary shall es- due for 60 days or more, the Secretary the Secretary through such national, area, tablish, subject to clauses (ii) and (iii). shall— State, or local offices and employees in the ‘‘(ii) FEES TO BE PAID IN FULL.—All fees due ‘‘(i) purchase the pool certificates rep- United States as the Secretary determines to the Secretary with respect to a guaranteed resenting ownership of the guaranteed por- be necessary; and loan shall be paid in full before any sale. tion of the loan; and ‘‘(B) authorize an office to serve an area ‘‘(iii) LOAN TO BE FULLY DISBURSED.—The ‘‘(ii) pay the registered holder of the cer- composed of 2 or more States if the Sec- loan shall be fully disbursed to the borrower tificates an amount equal to the guaranteed retary determines that the volume of busi- before the sale. portion of the loan represented by the cer- ness in the area is not sufficient to justify ‘‘(B) POST-SALE.—After a loan is sold in the tificate. separate State offices; secondary market, the lender shall— ‘‘(K) PAYMENT OF CLAIMS.—If the Secretary ‘‘(2)(A) accept and use voluntary and un- ‘‘(i) remain obligated under the guarantee pays a claim under a guarantee issued under compensated services; and agreement of the lender with the Secretary; this subsection, the claim shall be sub- ‘‘(B) with the consent of the agency con- and rogated fully to the rights satisfied by the cerned, use the officers, employees, equip- ‘‘(ii) continue to service the loan in accord- payment, as may be provided by the Sec- ment, and information of any agency of the ance with the terms and conditions of that retary. Federal Government, or of any State, terri- agreement. ‘‘(L) APPLICATION OF LAWS.—No State or tory, or political subdivision; ‘‘(C) PROCEDURES.—The Secretary shall de- local law, and no Federal law, shall preclude ‘‘(3) subject to appropriations, make nec- velop such procedures as are necessary for— or limit the exercise by the Secretary of the essary expenditures for the purchase or hire ‘‘(i) the facilitation, administration, and ownership rights of the Secretary in the por- of passenger vehicles, and such other facili- promotion of secondary market operations; tions of loans constituting the pool against ties and services as the Secretary may from and which the certificates are issued. time to time find necessary for the proper ‘‘(ii) determining the increase of access of ‘‘(3) DUTIES OF THE SECRETARY.— administration of this title; farmers to capital at reasonable rates and ‘‘(A) IN GENERAL.—On the adoption of final ‘‘(4) subject to subsection (b), compromise, terms as a result of secondary market oper- rules and regulations, the Secretary shall— adjust, reduce, or charge-off debts or claims ations. ‘‘(i) provide for the central collection of (including debts and claims arising from ‘‘(D) RIGHTS TO PREPAY.—This subsection registration information from all partici- loan guarantees), and adjust, modify, subor- does not impede or extinguish— pating market makers for all loans and pool dinate, or release the terms of security in- ‘‘(i) the right of the borrower or the suc- certificates sold under paragraphs (1) and (2), struments, leases, contracts, and agreements cessor in interest to the borrower to prepay including, with respect to each original sale entered into or administered by the Farm (in whole or in part) any loan made under and any subsequent sale— Service Agency, the Rural Utilities Service, this title; or ‘‘(I) identification of the interest rate paid the Rural Housing Service, the Rural Busi- ‘‘(ii) the rights of any party under any pro- by the borrower to the lender; ness-Cooperative Service, or successor agen- vision of this title. ‘‘(II) the servicing fee of the lender; cies under this title, except for activities ‘‘(2) ISSUE POOL CERTIFICATES.— ‘‘(III) disclosure of whether interest on the conducted under the Housing Act of 1949 (42 ‘‘(A) IN GENERAL.—The Secretary may, di- loan is at a fixed or variable rate; U.S.C. 1441 et seq.); rectly or through a market maker approved ‘‘(IV) identification of each purchaser of a ‘‘(5) release mortgage and other contract by the Secretary, issue pool certificates rep- pool certificate; liens if it appears that the mortgage and resenting ownership of part or all of the ‘‘(V) the interest rate paid on the certifi- liens have no present or prospective value or guaranteed portion of any loan guaranteed cate; and that the enforcement of the mortgage and by the Secretary under this title. ‘‘(VI) such other information as the Sec- liens likely would be ineffectual or uneco- ‘‘(B) APPROVAL.—Certificates under sub- retary considers appropriate. nomical; paragraph (A) shall be based on and backed ‘‘(ii) before any sale, require the seller (as ‘‘(6) obtain fidelity bonds protecting the by a pool established or approved by the Sec- defined in subparagraph (B) to disclose to Federal Government against fraud and dis- retary and composed solely of the entire each prospective purchaser of the portion of honesty of officers and employees of the guaranteed portion of the loans. a loan guaranteed under this title and to Farm Service Agency, the Rural Utilities ‘‘(C) GUARANTEE OF POOL.—On such terms each prospective purchaser of a pool certifi- Service, the Rural Housing Service, or the and conditions as the Secretary considers ap- cate issued under paragraph (2) information Rural Business-Cooperative Service in lieu of propriate, the Secretary may guarantee the on the terms, conditions, and yield of such faithful performance of duties bonds under timely payment of the principal and interest instrument; section 14 of title 6, United States Code, but on pool certificates issued on behalf of the ‘‘(iii) provide for adequate custody of any otherwise in accordance with the section; Secretary by approved market makers for pooled guaranteed loans; ‘‘(7) consent to— purposes of this subsection. ‘‘(iv) take such actions as are necessary, in ‘‘(A) long-term leases of facilities financed ‘‘(D) LIMITATIONS.—A guarantee under sub- restructuring pools of the guaranteed por- under this title notwithstanding the failure paragraph (C) shall be limited to the extent tion of loans, to minimize the estimated of the lessee to meet any of the requirements of principal and interest on the guaranteed costs of paying claims under guarantees of this title if the long-term leases are nec- portions of loans that compose the pool. issued under this subsection; essary to ensure the continuation of services ‘‘(E) PREPAYMENT.—If a loan in a pool is ‘‘(v) require each market maker— for which financing was extended to the les- prepaid, either voluntarily or by reason of ‘‘(I) to service all pools formed, and par- sor; and default, the guarantee of timely payment of ticipations sold, by the market maker; and ‘‘(B) the transfer of property securing any principal and interest on the pool certifi- ‘‘(II) to provide the Secretary with infor- loan or financed by any loan or grant made cates shall be reduced in proportion to the mation relating to the collection and dis- or guaranteed by the Farm Service Agency,

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00142 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4073 the Rural Utilities Service, the Rural Hous- ‘‘(ii) the form minimizes the documenta- duly impairing the standard of living of the ing Service, or the Rural Business-Coopera- tion required to accompany the form; borrower. tive Service under this title, or any other ‘‘(iii) the cost of completing and processing ‘‘(b) INTEREST.— law administered by the Secretary, on such the form is minimal; and ‘‘(1) IN GENERAL.—Except as provided in terms as the Secretary considers necessary ‘‘(iv) the form can be completed and proc- paragraph (2), the Secretary may permit any to carry out the purpose of the loan or grant essed in an expeditious manner. loan deferred under this section to bear no or to protect the financial interest of the ‘‘(d) USE OF ATTORNEYS FOR PROSECUTION interest during or after the deferral period. Federal Government, provided that the Sec- OR DEFENSE OF CLAIMS.—The Secretary may ‘‘(2) EXCEPTION.—If the security instru- retary shall document the consent of the use for the prosecution or defense of any ment securing the loan is foreclosed, such in- Secretary for the transfer of the property of claim or obligation described in subsection terest as is included in the purchase price at a borrower in the file of the borrower; and (a)(5) the Attorney General, the General the foreclosure shall become part of the prin- ‘‘(8) notwithstanding that an area ceases, Counsel of the Department, or a private at- cipal and draw interest from the date of fore- or has ceased, to be rural, in a rural area, or torney who has entered into a contract with closure at the rate prescribed by law. an eligible area, make loans and grants, and the Secretary. ‘‘(c) MORATORIUM REGARDING CIVIL RIGHTS approve transfers and assumptions, under ‘‘(e) PRIVATE COLLECTION AGENCY.—The CLAIMS.— this title on the same basis as though the Secretary may use a private collection agen- ‘‘(1) IN GENERAL.—Except as otherwise pro- area still was rural in connection with prop- cy to collect a claim or obligation described vided in this subsection, effective beginning erty securing any loan made or guaranteed in subsection (a)(5). on May 22, 2008, there shall be in effect a by the Secretary under this title or in con- ‘‘(f) SECURITY SERVICING.— moratorium, with respect to farmer program nection with any property held by the Sec- ‘‘(1) IN GENERAL.—The Secretary may— loans made under subtitle A, on all accelera- retary under this title. ‘‘(A) make advances, without regard to any tion and foreclosure proceedings instituted ‘‘(b) LOAN ADJUSTMENTS.— loan or total indebtedness limitation, to pre- by the Department against any farmer who— ‘‘(1) NO LIQUIDATION OF PROPERTY.—The serve and protect the security for, or the lien ‘‘(A) has pending against the Department a Secretary may not require liquidation of or priority of the lien securing any loan or claim of program discrimination that is ac- property securing any farmer program loan other indebtedness owing to or acquired by cepted by the Department as valid; or or acceleration of any payment required the Secretary under this title or under any ‘‘(B) files a claim of program discrimina- under any farmer program loan as a pre- other program administered by the Farm tion that is accepted by the Department as requisite to initiating an action authorized Service Agency, the Rural Utilities Service, valid. under subsection (a). the Rural Housing Service, or the Rural ‘‘(2) WAIVER OF INTEREST AND OFFSETS.— ‘‘(2) RELEASE OF PERSONAL LIABILITY.— Business-Cooperative Service applicable pro- During the period of the moratorium, the ‘‘(A) IN GENERAL.—Except as provided in gram, as determined by the Secretary; and Secretary shall waive the accrual of interest subparagraph (B), the Secretary may release ‘‘(B)(i) bid for and purchase at any execu- and offsets on all farmer program loans made a borrower or other person obligated on a tion, foreclosure, or other sale or otherwise under subtitle A, B, or C for which loan ac- debt (other than debt incurred under the acquire property on which the United States celeration or foreclosure proceedings have Housing Act of 1949 (42 U.S.C. 1441 et seq.)) has a lien by reason of a judgment or execu- been suspended under paragraph (1). from personal liability with or without pay- tion arising from, or that is pledged, mort- ‘‘(3) TERMINATION OF MORATORIUM.—The ment of any consideration at the time of the gaged, conveyed, attached, or levied on to se- moratorium shall terminate with respect to compromise, adjustment, reduction, or cure the payment of, the indebtedness re- a claim of discrimination by a farmer on the charge-off of any claim. gardless of whether the property is subject earlier of— ‘‘(B) EXCEPTION.—No compromise, adjust- to other liens; ‘‘(A) the date the Secretary resolves the ment, reduction, or charge-off of any claim ‘‘(ii) accept title to any property so pur- claim; or may be made or carried out after the claim chased or acquired; and ‘‘(B) if the farmer appeals the decision of has been referred to the Attorney General, ‘‘(iii) sell, manage, or otherwise dispose of the Secretary on the claim to a court of unless the Attorney General approves. the property in accordance with this sub- competent jurisdiction, the date that the ‘‘(3) RURAL ELECTRIFICATION SECURITY IN- section. court renders a final decision on the claim. STRUMENTS.—In the case of a security instru- ‘‘(2) OPERATION OR LEASE OF REALTY.—Ex- ‘‘(4) FAILURE TO PREVAIL.—If a farmer does ment entered into under the Rural Elec- cept as provided in subsections (c) and (e), not prevail on a claim of discrimination de- trification Act of 1936 (7 U.S.C. 901 et seq.), real property administered under this title scribed in paragraph (1), the farmer shall be the Secretary shall notify the Attorney Gen- may be operated or leased by the Secretary liable for any interest and offsets that ac- eral of the intent of the Secretary to exer- for such period as the Secretary may con- crued during the period that loan accelera- cise the authority of the Secretary under sider necessary to protect the investment of tion or foreclosure proceedings have been paragraph (2). the Federal Government in the property. suspended under paragraph (1). ‘‘(c) SIMPLIFIED APPLICATION FORMS FOR ‘‘(g) PAYMENTS TO LENDERS.— ‘‘SEC. 3905. OIL AND GAS ROYALTY PAYMENTS ON LOAN GUARANTEES.— ‘‘(1) REQUIREMENT.—Not later than 90 days LOANS. ‘‘(1) IN GENERAL.—The Secretary shall pro- after a court of competent jurisdiction con- ‘‘(a) IN GENERAL.—The Secretary shall per- vide to lenders a short, simplified applica- firms a plan of reorganization under chapter mit a borrower of a loan made or guaranteed tion form for guarantees under this title of— 12 of title 11, United States Code, for any under this title to make a prospective pay- ‘‘(A) farmer program loans the principal borrower to whom a lender has made a loan ment on the loan with proceeds from— amount of which is $125,000 or less; and guaranteed under this title, the Secretary ‘‘(1) the leasing of oil, gas, or other mineral ‘‘(B) business and industry guaranteed shall pay the lender an amount estimated by rights to real property used to secure the loans under section 3601(a)(2)(A) the prin- the Secretary to be equal to the loss in- loan; or cipal amount of which is— curred by the lender for purposes of the guar- ‘‘(2) the sale of oil, gas, or other minerals ‘‘(i) in the case of a loan guarantee made antee. removed from real property used to secure during fiscal year 2002 or 2003, $400,000 or less; ‘‘(2) PAYMENT TOWARD LOAN GUARANTEE.— the loan, if the value of the rights to the oil, and Any amount paid to a lender under this sub- gas, or other minerals has not been used to ‘‘(ii) in the case of a loan guarantee made section with respect to a loan guaranteed secure the loan. during any subsequent fiscal year— under this title shall be treated as payment ‘‘(b) APPLICABILITY.—Subsection (a) shall ‘‘(I) $400,000 or less; or towards satisfaction of the loan guarantee. not apply to a borrower of a loan made or ‘‘(II) if the Secretary determines that there ‘‘SEC. 3904. LOAN MORATORIUM AND POLICY ON guaranteed under this title with respect to is not a significant increased risk of a de- FORECLOSURES. which a liquidation or foreclosure proceeding fault on the loan, $600,000 or less. ‘‘(a) IN GENERAL.—In addition to any other was pending on December 23, 1985. ‘‘(2) WATER AND WASTE DISPOSAL GRANTS authority that the Secretary may have to ‘‘SEC. 3906. TAXATION. AND LOANS.—The Secretary shall develop an defer principal and interest and forgo fore- ‘‘(a) IN GENERAL.—Except as provided in application process that accelerates, to the closure, the Secretary may permit, at the re- subsection (b), all property subject to a lien maximum extent practicable, the processing quest of the borrower, the deferral of prin- held by the United States or the title to of applications for water and waste disposal cipal and interest on any outstanding loan which is acquired or held by the Secretary grants or direct or guaranteed loans under made or guaranteed by the Secretary under under this title (other than property used for section 3501(a)(1) the grant award amount or this title, or under any other law adminis- administrative purposes) shall be subject to principal loan amount, respectively, of tered by the Farm Service Agency, the Rural taxation by State, territory, district, and which is $300,000 or less. Utilities Service, the Rural Housing Service, local political subdivisions in the same man- ‘‘(3) ADMINISTRATION.—In developing an ap- or the Rural Business-Cooperative Service, ner and to the same extent as other property plication under this subsection, the Sec- and may forgo foreclosure of the loan, for is taxed. retary shall— such period as the Secretary considers nec- ‘‘(b) EXCEPTIONS.—No tax shall be imposed ‘‘(A) consult with commercial and coopera- essary on a showing by the borrower that, or collected as described in subsection (a) if tive lenders; and due to circumstances beyond the control of the tax (whether as a tax on the instrument ‘‘(B) ensure that— the borrower, the borrower is temporarily or in connection with conveying, transfer- ‘‘(i) the form can be completed manually unable to continue making payments of the ring, or recording the instrument) is based or electronically, at the option of the lender; principal and interest when due without un- on—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00143 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4074 CONGRESSIONAL RECORD — SENATE June 12, 2012 ‘‘(1) the value of any notes or mortgages or planation of the basis for the application of gram for lenders under this title who estab- other lien instruments held by or transferred the payments; lish— to the Secretary; ‘‘(4) the amount of principal and interest ‘‘(A) knowledge of, and experience under, ‘‘(2) any notes or lien instruments adminis- due on each loan at the end of the summary the program established under subsection tered under this title that are made, as- period; (a); signed, or held by a person otherwise liable ‘‘(5) the total amount of unpaid principal ‘‘(B) knowledge of the regulations con- for the tax; or and interest on all loans at the end of the cerning the guaranteed loan program; and ‘‘(3) the value of any property conveyed or summary period; ‘‘(C) proficiency related to the certified transferred to the Secretary. ‘‘(6) any delinquency in the repayment of lender program requirements. ‘‘(c) FAILURE TO PAY OR COLLECT TAX.—The any loan; ‘‘(2) REVOCATION OF DESIGNATION.— failure to pay or collect a tax under sub- ‘‘(7) a schedule of the amount and date of ‘‘(A) IN GENERAL.—Subject to subparagraph section (a) shall not— payments due on each loan; and (B), the designation of a lender as a Pre- ‘‘(1) be a ground for— ‘‘(8) the procedure the borrower may use to ferred Certified Lender shall be revoked at ‘‘(A) refusal to record or file an instru- obtain more information concerning the sta- any time— ment; or tus of the loans. ‘‘(i) that the Secretary determines that the ‘‘(B) failure to provide notice; or ‘‘SEC. 3909. CERTIFIED LENDERS PROGRAM. lender is not adhering to the rules and regu- ‘‘(2) prevent the enforcement of the instru- ‘‘(a) CERTIFIED LENDERS PROGRAM.— lations applicable to the program; or ment in any Federal or State court. ‘‘(1) IN GENERAL.—The Secretary shall es- ‘‘(ii) if the loss experiences of a Preferred ‘‘SEC. 3907. CONFLICTS OF INTEREST. tablish a program under which the Secretary Certified Lender are excessive as compared ‘‘(a) ACCEPTANCE OF CONSIDERATION PRO- shall guarantee loans under this title that to other Preferred Certified Lenders. HIBITED.—No officer, attorney, or other em- are made by lending institutions certified by ‘‘(B) EFFECT.—A suspension or revocation ployee of the Department shall, directly or the Secretary. under subparagraph (A) shall not affect any indirectly, be the beneficiary of or receive ‘‘(2) CERTIFICATION REQUIREMENTS.—The outstanding guarantee. any fee, commission, gift, or other consider- Secretary shall certify a lending institution ‘‘(3) CONDITION OF CERTIFICATION.—As a ation for or in connection with any trans- that meets such criteria as the Secretary condition of preferred certification, the Sec- action or business under this title other than may prescribe in regulations, including the retary shall require the institution to under- such salary, fee, or other compensation as ability of the institution to properly make, take to service the loans guaranteed by the the officer, attorney, or employee may re- service, and liquidate the loans of the insti- Secretary under this subsection using gen- ceive as the officer, attorney, or employee. tution. erally accepted banking standards con- ‘‘(3) CONDITION OF CERTIFICATION.— ‘‘(b) ACQUISITION OF INTEREST IN LAND PRO- cerning loan servicing employed by prudent ‘‘(A) IN GENERAL.—As a condition of the HIBITED.— commercial or cooperative lenders. certification, the Secretary shall require the ‘‘(1) IN GENERAL.—Except as provided in ‘‘(4) MONITORING.—The Secretary shall, at institution to undertake to service the loans paragraph (2), no officer or employee of the least annually, monitor the performance of guaranteed by the Secretary under this sec- Department who acts on or reviews an appli- each Preferred Certified Lender to ensure tion, using standards that are not less strin- cation made by any person under this title that the conditions of certification are being gent than generally accepted banking stand- for a loan to purchase land may acquire, di- met. ards concerning loan servicing employed by rectly or indirectly, any interest in the land ‘‘(5) EFFECT OF PREFERRED LENDER CERTIFI- prudent commercial or cooperative lenders. for a period of 3 years after the date on CATION.— ‘‘(B) MONITORING.—The Secretary shall, at which the action is taken or the review is ‘‘(A) IN GENERAL.—Notwithstanding any least annually, monitor the performance of made. other provision of law, the Secretary shall— each certified lender to ensure that the con- ORMER COUNTY COMMITTEE MEM- ‘‘(i) guarantee 80 percent of an approved ‘‘(2) F ditions of the certification are being met. BERS.—Paragraph (1) shall not apply to a loan made by a certified lending institution ‘‘(4) EFFECT OF CERTIFICATION.—Notwith- as described in this subsection, subject to a former member of a county committee on a standing any other provision of law: determination by the Secretary, prior to the determination that the borrower meets the ‘‘(A) AMOUNT OF LOAN GUARANTEE.—In the eligibility requirements or such other cri- acquisition of the interest, that the former case of a loan made or guaranteed under sub- teria as may be applicable to loans guaran- member acted in good faith when acting on title A, the Secretary shall guarantee 80 per- teed by the Secretary under other provisions or reviewing the application. cent of a loan made under this section by a of this title; ‘‘(c) CERTIFICATIONS ON LOANS TO FAMILY certified lending institution as described in ‘‘(ii) permit certified lending institutions— MEMBERS PROHIBITED.—No member of a paragraph (1), subject to a determination ‘‘(I) to make all decisions, with respect to county committee shall knowingly make or that the borrower of the loan meets the eli- join in making any certification with respect gibility requirements and such other criteria loans to be guaranteed by the Secretary to— as may be applicable to loans guaranteed by under this subsection relating to credit wor- ‘‘(1) a loan to purchase any land in which the Secretary under other provisions of this thiness, the closing, monitoring, collection the member, or any person related to the title. and liquidation of loans; and ‘‘(II) to accept appropriate certifications, member within the second degree of consan- ‘‘(B) CERTIFICATIONS BY LENDING INSTITU- as provided by regulations issued by the Sec- guinity or affinity, has or may acquire any TIONS.—In the case of loans to be guaranteed interest; or by the Secretary under this section, the Sec- retary, that the borrower is in compliance ‘‘(2) any applicant related to the member retary shall permit certified lending institu- with all requirements of law or regulations within the second degree of consanguinity or tions to make appropriate certifications (as promulgated by the Secretary; and affinity. provided by regulations issued by the Sec- ‘‘(iii) be considered to have guaranteed 80 ‘‘(d) PENALTIES.—Any person violating this retary)— percent of a loan made by a preferred cer- section shall, on conviction of the violation, ‘‘(i) relating to issues such as creditworthi- tified lending institution as described in be punished by a fine of not more than $2,000 ness, repayment ability, adequacy of collat- paragraph (1), if the Secretary fails to ap- or imprisonment for not more than 2 years, eral, and feasibility of farm operation; and prove or reject the application of such insti- or both. ‘‘(ii) that the borrower is in compliance tution within 14 calendar days after the date ‘‘SEC. 3908. LOAN SUMMARY STATEMENTS. with all requirements of law, including regu- that the lending institution presented the ‘‘(a) DEFINITION OF SUMMARY PERIOD.—In lations issued by the Secretary. application to the Secretary. ‘‘(B) REQUIREMENT.—If the Secretary re- this section, the term ‘summary period’ ‘‘(C) APPROVAL PROCESS.— jects an application under subparagraph means the period beginning on the date of ‘‘(i) IN GENERAL.—The Secretary shall ap- issuance of the preceding loan summary prove or disapprove a guarantee not later (A)(iii) during the 14-day period, the Sec- statement and ending on the date of issuance than 14 days after the date that the lending retary shall state, in writing, the reasons the of the current loan summary statement. institution applies to the Secretary for the application was rejected. ‘‘(b) ISSUANCE OF STATEMENTS.—On the re- guarantee. ‘‘(c) ADMINISTRATION OF CERTIFIED LENDERS AND PREFERRED CERTIFIED LENDERS PRO- quest of a borrower of a loan made (but not ‘‘(ii) DISAPPROVAL.—If the Secretary dis- guaranteed) under this title, the Secretary approves the loan application during the 14- GRAMS.—The Secretary may administer the shall issue to the borrower a loan summary day period, the Secretary shall state, in loan guarantee programs under subsections statement that reflects the account activity writing, all of the reasons the application (a) and (b) through central offices estab- during the summary period for each loan was disapproved. lished in States or in multi-State areas made under this title to the borrower, in- ‘‘(5) RELATIONSHIP TO OTHER REQUIRE- ‘‘SEC. 3910. LOANS TO RESIDENT ALIENS. cluding— MENTS.—Nothing in this section affects the ‘‘(a) IN GENERAL.—Notwithstanding the ‘‘(1) the outstanding amount of principal responsibility of the Secretary to certify eli- provisions of this title limiting the making due on each loan at the beginning of the gibility, review financial information, and of a loan to a citizen of the United States, summary period; otherwise assess an application. the Secretary may make a loan under this ‘‘(2) the interest rate charged on each loan; ‘‘(b) PREFERRED CERTIFIED LENDERS PRO- title to an alien lawfully admitted to the ‘‘(3) the amount of payments made on, and GRAM.— United States for permanent residence under the application of the payments to, each ‘‘(1) IN GENERAL.—The Secretary shall es- the Immigration and Nationality Act (8 loan during the summary period and an ex- tablish a Preferred Certified Lenders Pro- U.S.C. 1101 et seq.).

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‘‘(b) REGULATIONS.— (c) Section 306F(a)(1) of the Rural Elec- (1) and (3) of section 3416(a) of the Consoli- ‘‘(1) IN GENERAL.—No loan may be made trification Act of 1936 (7 U.S.C. 936f(a)(1)) is dated Farm and Rural Development Act’’. under this title to an alien referred to in sub- amended by striking subparagraph (B) and (n) Section 2501A(b) of the Food, Agri- section (a) until the Secretary issues regula- inserting the following: culture, Conservation, and Trade Act of 1990 tions establishing the terms and conditions ‘‘(B) chapter 1 of subtitle B of the Consoli- (7 U.S.C. 2279–1(b)) is amended by striking under which the alien may receive the loan. dated Farm and Rural Development Act.’’. ‘‘section 355(e) of the Consolidated Farm and ‘‘(2) REQUIREMENT.—The Secretary shall (d) Section 2333(d) of the Food, Agri- Rural Development Act (7 U.S.C. 2003(e))’’ submit the regulations to the Committee on culture, Conservation, and Trade Act of 1990 and inserting ‘‘section 3002 of the Consoli- Agriculture of the House of Representatives (7 U.S.C. 950aaa–2(d)) is amended— dated Farm and Rural Development Act’’. and the Committee on Agriculture, Nutri- (1) in paragraph (11), by adding ‘‘and’’ at (o) Section 7405(c)(8)(B) of the Farm Secu- tion, and Forestry of the Senate at least 30 the end; rity and Rural Investment Act of 2002 (7 days prior to the date on which the regula- (2) by striking paragraph (12); and U.S.C. 3319f(c)(8)(B)) is amended by striking tions are published in the Federal Register. (3) by redesignating paragraph (13) as para- ‘‘section 355(e) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2003(e))’’ ‘‘SEC. 3911. EXPEDITED CLEARING OF TITLE TO graph (12). INVENTORY PROPERTY. (e) Section 601(b) of the Rural Electrifica- and inserting ‘‘section 3002 of the Consoli- ‘‘(a) IN GENERAL.—The Secretary may em- tion Act of 1936 (7 U.S.C. 950bb(b)) is amended dated Farm and Rural Development Act)’’. ploy local attorneys, on a case-by-case basis, by striking paragraph (3). (p) Section 1101(d)(2)(A) of the Food, Con- to process all legal procedures necessary to (f) Section 602(5) of the Emergency Live- servation, and Energy Act of 2008 (7 U.S.C. clear the title to foreclosed properties in the stock Feed Assistance Act of 1988 (7 U.S.C. 8711(d)(2)(A)) is amended by striking ‘‘section inventory of the Department. 1471(5)) is amended by striking ‘‘section 355(e) of the Consolidated Farm and Rural ‘‘(b) COMPENSATION.—Attorneys shall be 355(e)(1)(D)(ii) of the Consolidated Farm and Development Act (7 U.S.C. 2003(e))’’ and in- compensated at not more than the usual and Rural Development Act (7 U.S.C. serting ‘‘section 3002 of the Consolidated customary charges of the attorneys for the 1985(e)(1)(D)(ii))’’ and inserting ‘‘section Farm and Rural Development Act)’’. work. 3409(c)(1)(A) of the Consolidated Farm and (q) Section 1302(d)(2)(A) of the Food, Con- servation, and Energy Act of 2008 (7 U.S.C. ‘‘SEC. 3912. PROHIBITION ON USE OF LOANS FOR Rural Development Act)’’. CERTAIN PURPOSES. (g) Section 508 of the Federal Crop Insur- 8752(d)(2)(A)) is amended by striking ‘‘section ‘‘(a) IN GENERAL.—Except as provided in ance Act (7 U.S.C. 1508) is amended— 355(e) of the Consolidated Farm and Rural subsections (b) and (c), the Secretary may (1) in subsection (b)(7)(A), by striking ‘‘sec- Development Act (7 U.S.C. 2003(e))’’ and in- not approve a loan under this title to drain, tion 371 of the Consolidated Farm and Rural serting ‘‘section 3002 of the Consolidated dredge, fill, level, or otherwise manipulate a Development Act (7 U.S.C. 2008f)’’ and insert- Farm and Rural Development Act)’’. (r) Section 2375(g) of the Food, Agriculture, wetland (as defined in section 1201(a) of the ing ‘‘section 3424 of the Consolidated Farm Conservation, and Trade Act of 1990 (7 U.S.C. Food Security Act of 1985 (16 U.S.C. 3801(a))), and Rural Development Act’’; and 6613(g)) is amended by striking ‘‘section or to engage in any activity that results in (2) in subsection (n)(2), by striking ‘‘sub- 304(b), 306(a), or 310B(e) of the Consolidated impairing or reducing the flow, circulation, title C of the Consolidated Farm and Rural Farm and Rural Development Act (7 U.S.C. or reach of water. Development Act (7 U.S.C. 1961 et seq.)’’ and ‘‘(b) PRIOR ACTIVITY.—Subsection (a) does 1924(b), 1926(a), and 1932(e))’’ and inserting inserting ‘‘chapter 3 of subtitle A of the Con- ‘‘subtitle B of the Consolidated Farm and not apply in the case of— solidated Farm and Rural Development ‘‘(1) an activity related to the maintenance Rural Development Act’’. Act’’. (s) Section 226B(a)(1) of the Department of of a previously converted wetland; or (h) Section 231(a) of the Agricultural Risk Agriculture Reorganization Act of 1994 (7 ‘‘(2) in the case of an activity that had al- Protection Act of 2000 (7 U.S.C. 1632a(a)) is U.S.C. 6934(a)(1)) is amended by striking ready commenced before November 28, 1990. amended— ‘‘section 343(a) of the Consolidated Farm and ‘‘(c) EXCEPTION.—This section shall not (1) in paragraph (1), by striking ‘‘section Rural Development Act (7 U.S.C. 1991(a))’’ apply to a loan made or guaranteed under 343(a) of the Consolidated Farm and Rural this title for a utility line. and inserting ‘‘section 3002 of the Consoli- Development Act (7 U.S.C. 1991(a))’’ and in- dated Farm and Rural Development Act’’. ‘‘SEC. 3913. TRANSFER OF LAND TO SECRETARY. serting ‘‘section 3002 of the Consolidated (t) Section 196(i)(3)(B) of the Federal Agri- ‘‘The President may at any time, in the Farm and Rural Development Act’’; and culture Improvement and Reform Act of 1996 discretion of the President, transfer to the (2) in paragraph (4), by striking ‘‘section (7 U.S.C. 7333(i)(3)(B)) is amended by striking Secretary any right, interest, or title held by 355(e) of the Consolidated Farm and Rural ‘‘subtitle C of the Consolidated Farm and the United States in any land acquired in the Development Act (7 U.S.C. 2003(e))’’ and in- Rural Development Act (7 U.S.C. 1961 et program of national defense and no longer serting ‘‘section 3002 of the Consolidated seq.)’’ and inserting ‘‘chapter 3 of subtitle A needed for that purpose that the President Farm and Rural Development Act’’. of the Consolidated Farm and Rural Develop- finds suitable for the purposes of this title, (i) Section 14204(a) of the Food, Conserva- ment Act’’. and the Secretary shall dispose of the trans- tion, and Energy Act of 2008 (7 U.S.C. 2008q– (u) Section 9009(a)(1) of the Farm Security ferred land in the manner and subject to the 1(a)) is amended by striking ‘‘an entity de- and Rural Investment Act of 2002 (7 U.S.C. terms and conditions of this title. scribed in section 379C(a) of the Consolidated 8109(a)(1)) is amended by striking ‘‘section ‘‘SEC. 3914. COMPETITIVE SOURCING LIMITA- Farm and Rural Development Act (7 U.S.C. 343(a)(13)(A) of the Consolidated Farm and TIONS. 2008q(a))’’ and inserting ‘‘an entity deter- Rural Development Act (7 U.S.C. ‘‘The Secretary may not complete a study mined by the Secretary’’. 1991(a)(13)(A)))’’ and inserting ‘‘section 3002 of, or enter into a contract with a private (j) Section 607(c)(6) of the Rural Develop- of the Consolidated Farm and Rural Develop- party to carry out, without specific author- ment Policy Act of 1972 (7 U.S.C. 2204b(c)(6)) ment Act’’. ization in a subsequent Act of Congress, a is amended in the last sentence— (v) Section 9011(c)(2)(B)(v) of the Farm Se- competitive sourcing activity of the Sec- (1) by striking ‘‘, and’’ and inserting ‘‘and curity and Rural Investment Act of 2002 (7 retary, including support personnel of the any’’; and U.S.C. 8111(c)(2)(B)(v)) is amended by strik- Department, relating to rural development (2) by striking ‘‘required under section ing subclause (I)and inserting the following: or farmer program loans. 306(a)(12) of the Consolidated Farm and ‘‘(I) beginning farmers (as defined in ac- ‘‘SEC. 3915. REGULATIONS. Rural Development Act’’. cordance with section 3002 of the Consoli- ‘‘The Secretary may issue such regula- (k) Section 901(b) of the Agricultural Act dated Farm and Rural Development Act); tions, prescribe such terms and conditions of 1970 (7 U.S.C. 2204b–1(b)) is amended by or’’. for making or guaranteeing loans, security striking ‘‘rural areas as defined in the pri- (w) Section 7(b)(2)(B) of the Small Business instruments, and agreements, except as oth- vate business enterprise exception in section Act (15 U.S.C. 636(b)(2)(B)) is amended by erwise specified in this title, and make such 306(a)(7) of the Consolidated Farmers Home striking ‘‘section 321 of the Consolidated delegations of authority as the Secretary Administration Act of 1961, as amended (7 Farm and Rural Development Act (7 U.S.C. considers necessary to carry out this title.’’. U.S.C. 1926)’’ and inserting ‘‘rural areas, as 1961)’’ and inserting ‘‘section 3301 of the Con- SEC. 6002. CONFORMING AMENDMENTS. defined in section 3002 of the Consolidated solidated Farm and Rural Development (a) Section 17(c) of the Rural Electrifica- Farm and Rural Development Act’’. Act’’. tion Act of 1936 (7 U.S.C. 917(c)) is amended (l) Section 14220 of the Food, Conservation, (x) Section 8(b)(5)(B)(iii)(III)(bb) of the Soil by striking paragraph (1) and inserting the and Energy Act of 2008 (7 U.S.C. 2206b) is Conservation and Domestic Allotment Act following: amended by striking ‘‘section 343(a)(13)(A) of (16 U.S.C. 590h(b)(5)(B)(iii)(III)(bb)) is amend- ‘‘(1) Subtitle B of the Consolidated Farm the Consolidated Farm and Rural Develop- ed by striking ‘‘section 355(e)(1) of the Con- and Rural Development Act.’’. ment Act)’’ and inserting ‘‘section 3002 of the solidated Farm and Rural Development Act (b) Section 305(c)(2)(B)(i)(I) of the Rural Consolidated Farm and Rural Development (7 U.S.C.A. § 2003(e)(1))’’ and inserting ‘‘sec- Electrification Act of 1936 (7 U.S.C. Act)’’. tion 3002 of the Consolidated Farm and Rural 935(c)(2)(B)(i)(I)) is amended by striking ‘‘sec- (m) Section 2501(c)(2)(D) of the Food, Agri- Development Act)’’. tion 307(a)(3)(A) of the Consolidated Farm culture, Conservation, and Trade Act of 1990 (y) Section 10(b)(3) of the Cooperative For- and Rural Development Act (7 U.S.C. (7 U.S.C. 2279(c)(2)(D)) is amended by striking estry Assistance Act of 1978 (16 U.S.C. 1927(a)(3)(A))’’ and inserting ‘‘section ‘‘sections 355(a)(1) and 355(c) of the Consoli- 2106(b)(3)) is amended in the last sentence by 3701(b)(2) of the Consolidated Farm and dated Farm and Rural Development Act (7 striking ‘‘set out in the first clause of sec- Rural Development Act’’. U.S.C. 2003(a)(1))’’ and inserting ‘‘paragraphs tion 306(a)(7) of the Consolidated Farm and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00145 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4076 CONGRESSIONAL RECORD — SENATE June 12, 2012 Rural Development Act’’ and inserting 5154a(d)(1)) is amended by striking ‘‘section the subject of the grant shall be carried out ‘‘given the term in section 3002 of the Con- 321(a) of the Consolidated Farm and Rural in a rural area. solidated Farm and Rural Development Development Act (7 U.S.C. 1961(a))’’ and in- ‘‘(B) MAXIMUM.—Except as provided in sub- Act’’. serting ‘‘section 3301(b) of the Consolidated paragraph (D), the amount of any grant (z) Section 1201(a)(2) of the Food Security Farm and Rural Development Act’’. made under this section shall not exceed 50 Act of 1985 (16 U.S.C. 3801(a)(2)) is amended (kk) Section 213(c)(1) of the Biomass En- percent of the development costs of the by striking ‘‘section 343(a)(8) of the Consoli- ergy and Alcohol Fuels Act of 1980 (42 U.S.C. project for which the grant is provided. dated Farm and Rural Development Act (7 8813(c)(1)) is amended in the first sentence by ‘‘(C) GRANT RATE.—The Secretary shall es- U.S.C. 1991(a)(8))’’ and inserting ‘‘section 3002 striking ‘‘section 309 of the Consolidated tablish the grant rate for each project in ac- of the Consolidated Farm and Rural Develop- Farm and Rural Development Act or the cordance with regulations issued by the Sec- ment Act’’. Rural Development Insurance Fund in sec- retary that shall provide for a graduated (aa) Section 1238(2) of the Food Security tion 309A of such Act’’ and inserting ‘‘under scale of grant rates that establish higher Act of 1985 (16 U.S.C. 3838(2)) is amended by section 3401 of the Consolidated Farm and rates for projects in communities that striking ‘‘section 343(a) of the Consolidated Rural Development Act or the Rural Devel- have— Farm and Rural Development Act (7 U.S.C. opment Insurance Fund under section 3704 of ‘‘(i) remote locations; 1991(a))’’ and inserting ‘‘section 3002 of the that Act’’. ‘‘(ii) low community populations; Consolidated Farm and Rural Development (ll) Section 1323(b)(2) of the Food Security ‘‘(iii) low income levels; and Act’’. Act of 1985 (Public Law 99–198; 7 U.S.C. 1932 ‘‘(iv) developed the applications of the (bb) The first section of Public Law 91–229 note) is amended— communities with the participation of com- (25 U.S.C. 488) is amended in subsection (a) (1) in subparagraph (A), by inserting ‘‘and’’ binations of stakeholders, including— by striking ‘‘make loans from the Farmers at the end; ‘‘(I) State, local, and tribal governments; Home Administration Direct Loan Account (2) in subparagraph (B), by striking ‘‘; and’’ ‘‘(II) nonprofit institutions; created by section 338(c), and to make and at the end and inserting a period; and ‘‘(III) institutions of higher education; insure loans as provided in sections 308 and (3) by striking subparagraph (C). ‘‘(IV) private entities; and 309, of the Consolidated Farmers Home Ad- Subtitle B—Rural Electrification ‘‘(V) philanthropic organizations. ministration Act of 1961, as amended (7 SEC. 6101. DEFINITION OF RURAL AREA. ‘‘(D) SECRETARIAL AUTHORITY TO ADJUST.— U.S.C. 1988(c), 1928, 1929),’’ and inserting Section 13(3) of the Rural Electrification The Secretary may make grants of up to 75 ‘‘make loans under chapter 1 of subtitle A of Act of 1936 (7 U.S.C. 913(A)) is amended by percent of the development costs of the the Consolidated Farm and Rural Develop- striking subparagraph (A) and inserting the project for which the grant is provided to an ment Act’’. following: eligible entity if the Secretary determines (cc) Section 5 of Public Law 91–229 (25 ‘‘(A) any area described in section that the project serves a remote or low in- U.S.C. 492) is amended by striking ‘‘section 3002(28)(A)(i) of the Consolidated Farm and come area that does not have access to 307(a)(3)(B) of the Consolidated Farmers Rural Development Act; and’’. broadband service from any provider of Home Administration Act of 1961, as amend- SEC. 6102. GUARANTEES FOR BONDS AND NOTES broadband service (including the appli- ed, and to the provisions of subtitle D of that ISSUED FOR ELECTRIFICATION OR cant).’’; Act except sections 340, 341, 342, and 343’’ and TELEPHONE PURPOSES. (4) in subsection (d)— inserting ‘‘3105(b)(2) of the Consolidated Section 313A(f) of the Rural Electrification (A) in paragraph (1)(A)— Farm and Rural Development Act’’. Act of 1936 (7 U.S.C. 940c–1(f)) is amended by (i) in the matter preceding clause (i), by (dd) Section 6(c) of Public Law 91–229 (25 striking ‘‘2012’’ and inserting ‘‘2017’’. striking ‘‘loan or’’ and inserting ‘‘grant, U.S.C. 493(c)) is amended by striking ‘‘sec- SEC. 6103. EXPANSION OF 911 ACCESS. loan, or’’; tion 333B of the Consolidated Farm and Section 315(d) of the Rural Electrification (ii) in clause (ii), by striking ‘‘a loan appli- Rural Development Act (7 U.S.C. 1983b)’’ and Act of 1936 (7 U.S.C. 940e(d)) is amended by cation’’ and inserting ‘‘an application’’; and inserting ‘‘subtitle H of the Department of striking ‘‘2012’’ and inserting ‘‘2017’’. (iii) in clause (iii)— Agriculture Reorganization Act of 1994 (7 SEC. 6104. ACCESS TO BROADBAND TELE- (I) by striking ‘‘the loan application’’ and U.S.C. 6991 et seq.)’’. COMMUNICATIONS SERVICES IN inserting ‘‘the application’’; and (ee) Section 181(a)(2)(B)(ii) of the Internal RURAL AREAS. (II) by striking ‘‘proceeds from the loan Revenue Code of 1986 is amended by striking Section 601 of the Rural Electrification Act made or guaranteed under this section are’’ ‘‘section 2009aa–1 of title 7, United States of 1936 (7 U.S.C. 950bb) is amended— and inserting ‘‘assistance under this section Code’’ and inserting ‘‘section 3801 of the Con- (1) in subsection (a), by striking ‘‘loans is’’; solidated Farm and Rural Development and’’ and inserting ‘‘grants, loans, and’’; (B) in paragraph (2)(A), in the matter pre- Act’’. (2) in subsection (b), by striking paragraph (ff) Section 515(b)(3) of the Housing Act of ceding clause (i)— (3) and inserting the following: 1949 (42 U.S.C. 1485(b)(3)) is amended by strik- (i) by striking ‘‘the proceeds of a loan ‘‘(3) RURAL AREA.—The term ‘rural area’ ing ‘‘all the provisions of section 309 and the made or guaranteed’’ and inserting ‘‘assist- means any area described in section 3002 of second and third sentences of section 308 of ance’’; and the Consolidated Farm and Rural Develop- the Consolidated Farmers Home Administra- (ii) by striking ‘‘for the loan or loan guar- ment Act.’’; tion Act of 1961, including the authority in antee’’ and inserting ‘‘of the eligible entity’’; section 309(f)(1) of that Act’’ and inserting (3) in subsection (c)— (C) by striking ‘‘loan or’’ each place it ap- ‘‘section 3401 of the Consolidated Farm and (A) in the subsection heading, by striking pears in paragraphs (2)(B), (3)(A), (4), (5), and Rural Development Act’’. ‘‘LOANS AND’’ and inserting ‘‘GRANTS, LOANS, (6) and inserting ‘‘grant, loan, or’’; (gg) Section 517(b) of the Housing Act of AND’’; (D) in paragraph (7), by striking ‘‘a loan 1949 (42 U.S.C. 1487(b)) is amended in the (B) in paragraph (1), by inserting ‘‘make application’’ and inserting ‘‘an application’’; third sentence by striking ‘‘(7 U.S.C. 1929)’’ grants and’’ after ‘‘Secretary shall’’; and and inserting ‘‘under section 3401 of the Con- (C) by striking paragraph (2) and inserting (E) by adding at the end the following: solidated Farm and Rural Development the following: ‘‘(8) TRANSPARENCY AND REPORTING.—The Act’’. ‘‘(2) PRIORITY.— Secretary— (hh) Section 3(8) of the Public Works and ‘‘(A) IN GENERAL.—In making grants or ‘‘(A) shall require any entity receiving as- Economic Development Act of 1965 (42 U.S.C. guaranteeing loans under paragraph (1), the sistance under this section to submit quar- 3122(8)) is amended— Secretary shall give the highest priority to terly, in a format specified by the Secretary, (1) by striking subparagraph (B) and insert- applicants that offer to provide broadband a report that describes— ing the following: service to the greatest proportion of house- ‘‘(i) the use by the entity of the assistance; ‘‘(B) the Delta Regional Authority estab- holds that, prior to the provision of the and lished under chapter 4 of subtitle B of the broadband service, had no incumbent service ‘‘(ii) the progress towards fulfilling the ob- Consolidated Farm and Rural Development provider. jectives for which the assistance was grant- Act;’’; and ‘‘(B) OTHER.—After giving priority to the ed; (2) by striking subparagraph (D) and in- applicants described in subparagraph (A), the ‘‘(B) shall maintain a fully searchable serting the following: Secretary shall then give priority to projects database, accessible on the Internet at no ‘‘(D) the Northern Great Plains Regional that serve rural communities— cost to the public, that contains, at a min- Authority established under chapter 5 of sub- ‘‘(i) with a population of less than 20,000 imum— title B of the Consolidated Farm and Rural permanent residents; ‘‘(i) a list of each entity that has applied Development Act.’’. ‘‘(ii) experiencing outmigration; for assistance under this section; (ii) Section 310(a) of the Robert T. Stafford ‘‘(iii) with a high percentage of low-income ‘‘(ii) a description of each application, in- Disaster Relief and Emergency Assistance residents; and cluding the status of each application; Act (42 U.S.C. 5153(a)) is amended by striking ‘‘(iv) that are isolated from other signifi- ‘‘(iii) for each entity receiving assistance paragraph (4) and inserting the following: cant population centers.’’; and under this section— ‘‘(4) Chapter 1 of subtitle B of the Consoli- (D) by adding at the end the following: ‘‘(I) the name of the entity; dated Farm and Rural Development Act.’’. ‘‘(3) GRANT AMOUNTS.— ‘‘(II) the type of assistance being received; (jj) Section 582(d)(1) of the National Flood ‘‘(A) ELIGIBILITY.—To be eligible for a ‘‘(III) the purpose for which the entity is Insurance Reform Act of 1994 (42 U.S.C. grant under this section, the project that is receiving the assistance; and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00146 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4077 ‘‘(IV) each quarterly report submitted structural improvements and investments in ‘‘(i) shall be required during the 10-year pe- under subparagraph (A); and cost-effective, commercial technologies to riod beginning on the date on which the spe- ‘‘(iv) such other information as is suffi- increase energy efficiency. cial advance is made; and cient to allow the public to understand and ‘‘(3) QUALIFIED CONSUMER.—The term ‘‘(ii) at the election of the eligible entity, monitor assistance provided under this sec- ‘qualified consumer’ means a consumer may be deferred to the end of the 10-year pe- tion; served by an eligible entity that has the abil- riod. ‘‘(C) may, in addition to other authority ity to repay a loan made under subsection ‘‘(7) LIMITATION.—All special advances under applicable law, deobligate awards to (d), as determined by the eligible entity. shall be made under a loan described in para- grantees that demonstrate an insufficient ‘‘(4) SECRETARY.—The term ‘Secretary’ graph (1) during the first 10 years of the term level of performance, or wasteful or fraudu- means the Secretary of Agriculture, acting of the loan. lent spending, as defined in advance by the through the Administrator of the Rural Util- ‘‘(d) LOANS TO QUALIFIED CONSUMERS.— Secretary, and award those funds competi- ities Service. ‘‘(1) TERMS OF LOANS.—Loans made by an tively to new or existing applicants con- ‘‘(c) LOANS TO ELIGIBLE ENTITIES.— eligible entity to qualified consumers using sistent with this section; and ‘‘(1) IN GENERAL.—Subject to paragraph (2), loan funds provided by the Secretary under ‘‘(D) may establish additional reporting the Secretary shall make loans to eligible subsection (c)— and information requirements for any recipi- entities that agree to use the loan funds to ‘‘(A) may bear interest, not to exceed 3 per- ent of any assistance under this section so as make loans to qualified consumers for the cent, to be used for purposes that include— to ensure compliance with this section.’’; purpose of implementing energy efficiency ‘‘(i) to establish a loan loss reserve; and (5) in subsection (f), by striking ‘‘make a measures. ‘‘(ii) to offset personnel and program costs loan or loan guarantee’’ and inserting ‘‘pro- ‘‘(2) REQUIREMENTS.— of eligible entities to provide the loans; vide assistance’’; ‘‘(A) IN GENERAL.—As a condition of receiv- ‘‘(B) shall finance energy efficiency meas- (6) in subsection (j)— ing a loan under this subsection, an eligible ures for the purpose of decreasing energy (A) in the matter preceding paragraph (1), entity shall— usage or costs of the qualified consumer by by striking ‘‘loan and loan guarantee’’; ‘‘(i) establish a list of energy efficiency an amount that ensures, to the maximum ex- (B) in paragraph (1), by inserting ‘‘grants measures that is expected to decrease energy tent practicable, that a loan term of not and’’ after ‘‘number of’’; use or costs of qualified consumers; more than 10 years will not pose an undue fi- (C) in paragraph (2)— ‘‘(ii) prepare an implementation plan for nancial burden on the qualified consumer, as (i) in subparagraph (A), by striking ‘‘loan’’; use of the loan funds, including use of any determined by the eligible entity; and interest to be received pursuant to sub- ‘‘(C) shall not be used to fund purchases of, (ii) in subparagraph (B), by striking ‘‘loans section (d)(1)(A); or modifications to, personal property unless and’’ and inserting ‘‘grants, loans, and’’; and ‘‘(iii) provide for appropriate measurement the personal property is or becomes attached (D) in paragraph (3), by striking ‘‘loan’’; and verification to ensure— to real property (including a manufactured (7) in subsection (k)(1)— ‘‘(I) the effectiveness of the energy effi- home) as a fixture; (A) by striking ‘‘$25,000,000’’ and inserting ciency loans made by the eligible entity; and ‘‘(D) shall be repaid through charges added ‘‘$50,000,000’’; and ‘‘(II) that there is no conflict of interest in to the electric bill for the property for, or at (B) by striking ‘‘2012’’ and inserting ‘‘2017’’; carrying out this section; and which, energy efficiency measures are or will and ‘‘(iv) demonstrate expertise in effective use be implemented, on the condition that this (8) in subsection (l)— of energy efficiency measures at an appro- requirement does not prohibit— (A) by striking ‘‘loan or’’ and inserting priate scale. ‘‘(i) the voluntary prepayment of a loan by ‘‘grant, loan, or’’; and ‘‘(B) REVISION OF LIST OF ENERGY EFFI- the owner of the property; or (B) by striking ‘‘2012’’ and inserting ‘‘2017’’. CIENCY MEASURES.—Subject to the approval ‘‘(ii) the use of any additional repayment Subtitle C—Miscellaneous of the Secretary, an eligible entity may up- mechanisms that are— SEC. 6201. DISTANCE LEARNING AND TELEMEDI- date the list required under subparagraph ‘‘(I) demonstrated to have appropriate risk CINE. (A)(i) to account for newly available effi- mitigation features, as determined by the el- (a) AUTHORIZATION OF APPROPRIATIONS.— ciency technologies. igible entity; or Section 2335A of the Food, Agriculture, Con- ‘‘(C) EXISTING ENERGY EFFICIENCY PRO- ‘‘(II) required if the qualified consumer is servation, and Trade Act of 1990 (7 U.S.C. GRAMS.—An eligible entity that, at any time no longer a customer of the eligible entity; 950aaa-5) is amended by striking ‘‘2012’’ and before the date that is 60 days after the date and inserting ‘‘2017’’. of enactment of this section, has established ‘‘(E) shall require an energy audit by an el- (b) CONFORMING AMENDMENT.—Section 1(b) an energy efficiency program for qualified igible entity to determine the impact of pro- of Public Law 102–551 (7 U.S.C. 950aaa note) is consumers may use an existing list of energy posed energy efficiency measures on the en- amended by striking ‘‘2012’’ and inserting efficiency measures, implementation plan, or ergy costs and consumption of the qualified ‘‘2017’’. measurement and verification system of that consumer. SEC. 6202. RURAL ENERGY SAVINGS PROGRAM. program to satisfy the requirements of sub- ‘‘(2) CONTRACTORS.—In addition to any Subtitle E of title VI of the Farm Security paragraph (A) if the Secretary determines other qualified general contractor, eligible and Rural Investment Act of 2002 (Public the list, plan, or systems are consistent with entities may serve as general contractors. Law 107–171; 116 Stat. 424) is amended by add- the purposes of this section. ‘‘(e) CONTRACT FOR MEASUREMENT AND ing at the end the following: ‘‘(3) NO INTEREST.—A loan under this sub- VERIFICATION, TRAINING, AND TECHNICAL AS- ‘‘SEC. 6407. RURAL ENERGY SAVINGS PROGRAM. section shall bear no interest. SISTANCE.— ‘‘(a) PURPOSE.—The purpose of this section ‘‘(4) REPAYMENT.—With respect to a loan ‘‘(1) IN GENERAL.—Not later than 90 days is to create jobs, promote rural development, under paragraph (1)— after the date of enactment of this section, and help rural families and small businesses ‘‘(A) the term shall not exceed 20 years the Secretary— achieve cost savings by providing loans to from the date on which the loan is closed; ‘‘(A) shall establish a plan for measure- qualified consumers to implement durable and ment and verification, training, and tech- cost-effective energy efficiency measures. ‘‘(B) except as provided in paragraph (6), nical assistance of the program; and ‘‘(b) DEFINITIONS.—In this section: the repayment of each advance shall be am- ‘‘(B) may enter into 1 or more contracts ‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible ortized for a period not to exceed 10 years. with a qualified entity for the purposes of— entity’ means— ‘‘(5) AMOUNT OF ADVANCES.—Any advance of ‘‘(i) providing measurement and ‘‘(A) any public power district, public util- loan funds to an eligible entity in any single verification activities; and ity district, or similar entity, or any electric year shall not exceed 50 percent of the ap- ‘‘(ii) developing a program to provide tech- cooperative described in section 501(c)(12) or proved loan amount. nical assistance and training to the employ- 1381(a)(2) of the Internal Revenue Code of ‘‘(6) SPECIAL ADVANCE FOR START-UP ACTIVI- ees of eligible entities to carry out this sec- 1986, that borrowed and repaid, prepaid, or is TIES.— tion. paying an electric loan made or guaranteed ‘‘(A) IN GENERAL.—In order to assist an eli- ‘‘(2) USE OF SUBCONTRACTORS AUTHORIZED.— by the Rural Utilities Service (or any prede- gible entity in defraying the appropriate A qualified entity that enters into a contract cessor agency); start-up costs (as determined by the Sec- under paragraph (1) may use subcontractors ‘‘(B) any entity primarily owned or con- retary) of establishing new programs or to assist the qualified entity in carrying out trolled by 1 or more entities described in modifying existing programs to carry out the contract. subparagraph (A); or subsection (d), the Secretary shall allow an ‘‘(f) FAST START DEMONSTRATION ‘‘(C) any other entity that is an eligible eligible entity to request a special advance. PROJECTS.— borrower of the Rural Utility Service, as de- ‘‘(B) AMOUNT.—No eligible entity may re- ‘‘(1) IN GENERAL.—The Secretary shall offer termined under section 1710.101 of title 7, ceive a special advance under this paragraph to enter into agreements with eligible enti- Code of Federal Regulations (or a successor for an amount that is greater than 4 percent ties (or groups of eligible entities) that have regulation). of the loan amount received by the eligible energy efficiency programs described in sub- ‘‘(2) ENERGY EFFICIENCY MEASURES.—The entity under paragraph (1). section (c)(2)(C) to establish an energy effi- term ‘energy efficiency measures’ means, for ‘‘(C) REPAYMENT.—Repayment of the spe- ciency loan demonstration projects con- or at property served by an eligible entity, cial advance— sistent with the purposes of this section.

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‘‘(2) EVALUATION CRITERIA.—In determining ‘‘(4) INTERIM REGULATIONS.—Notwith- ‘‘(ii) in response to a veterinarian shortage which eligible entities to award loans under standing paragraphs (1) and (2), to the extent situation; this section, the Secretary shall take into regulations are necessary to carry out any ‘‘(B) a State, national, allied, or regional consideration eligible entities that— provision of this section, the Secretary shall veterinary organization or specialty board ‘‘(A) implement approaches to energy au- implement such regulations through the pro- recognized by the American Veterinary Med- dits and investments in energy efficiency mulgation of an interim rule.’’. ical Association; measures that yield measurable and predict- TITLE VII—RESEARCH, EXTENSION, AND ‘‘(C) a college or school of veterinary medi- able savings; RELATED MATTERS cine accredited by the American Veterinary ‘‘(B) use measurement and verification Subtitle A—National Agricultural Research, Medical Association; processes to determine the effectiveness of Extension, and Teaching Policy Act of 1977 ‘‘(D) a university research foundation or energy efficiency loans made by eligible en- veterinary medical foundation; tities; SEC. 7101. NATIONAL AGRICULTURAL RESEARCH, ‘‘(E) a department of veterinary science or EXTENSION, EDUCATION, AND ECO- ‘‘(C) include training for employees of eli- NOMICS ADVISORY BOARD. department of comparative medicine accred- gible entities, including any contractors of (a) AUTHORIZATION OF APPROPRIATIONS.— ited by the Department of Education; such entities, to implement or oversee the Section 1408(h) of the National Agricultural ‘‘(F) a State agricultural experiment sta- activities described in subparagraphs (A) and Research, Extension, and Teaching Policy tion; and (B); Act of 1977 (7 U.S.C. 3123(h)) is amended by ‘‘(G) a State, local, or tribal government ‘‘(D) provide for the participation of a ma- striking ‘‘2012’’ and inserting ‘‘2017’’. agency. jority of eligible entities in a State; (b) DUTIES OF NATIONAL AGRICULTURAL RE- ‘‘(2) VETERINARIAN SHORTAGE SITUATION.— ‘‘(E) reduce the need for generating capac- SEARCH, EXTENSION, EDUCATION, AND ECONOM- The term ‘veterinarian shortage situation’ ity; ICS ADVISORY BOARD.—Section 1408(c) of the means a veterinarian shortage situation de- ‘‘(F) provide efficiency loans to— National Agricultural Research, Extension, termined by the Secretary under section ‘‘(i) in the case of a single eligible entity, and Teaching Policy Act of 1977 (7 U.S.C. 1415A(b). not fewer than 20,000 consumers; or 3123(c)) is amended— ‘‘(b) ESTABLISHMENT OF PROGRAM.— ‘‘(ii) in the case of a group of eligible enti- (1) in paragraph (3), by striking ‘‘and’’ at ‘‘(1) COMPETITIVE GRANTS.—The Secretary ties, not fewer than 80,000 consumers; and the end; shall carry out a program to make competi- ‘‘(G) serve areas in which, as determined (2) in paragraph (4)(C), by striking the pe- tive grants to qualified entities that carry by the Secretary, a large percentage of con- riod at the end and inserting ‘‘; and’’; and out programs or activities described in para- sumers reside— (3) by adding at the end the following: graph (2) for the purpose of developing, im- ‘‘(i) in manufactured homes; or ‘‘(5) consult with industry groups on agri- plementing, and sustaining veterinary serv- ‘‘(ii) in housing units that are more than 50 cultural research, extension, education, and ices. years old. economics, and make recommendations to ‘‘(2) ELIGIBILITY REQUIREMENTS.—To be eli- ‘‘(3) DEADLINE FOR IMPLEMENTATION.—To the Secretary based on that consultation.’’. gible to receive a grant described in para- the maximum extent practicable, the Sec- SEC. 7102. SPECIALTY CROP COMMITTEE. graph (1), a qualified entity shall carry out retary shall enter into agreements described Section 1408A of the National Agricultural programs or activities that the Secretary de- in paragraph (1) by not later than 90 days Research, Extension, and Teaching Policy termines will— after the date of enactment of this section. Act of 1977 (7 U.S.C. 3123a) is amended— ‘‘(A) substantially relieve veterinarian ‘‘(4) EFFECT ON AVAILABILITY OF LOANS NA- (1) in subsection (b)— shortage situations; TIONALLY.—Nothing in this subsection shall (A) by striking ‘‘Individuals’’ and inserting ‘‘(B) support or facilitate private veteri- delay the availability of loans to eligible en- the following: nary practices engaged in public health ac- tities on a national basis beginning not later ‘‘(1) ELIGIBILITY.—Individuals’’; tivities; or than 180 days after the date of enactment of (B) by striking ‘‘Members’’ and inserting ‘‘(C) support or facilitate the practices of this section. the following: veterinarians who are participating in or ‘‘(5) ADDITIONAL DEMONSTRATION PROJECT ‘‘(2) SERVICE.—Members’’; and have successfully completed a service re- AUTHORITY.— (C) by adding at the end the following: quirement under section 1415A(a)(2). ‘‘(A) IN GENERAL.—The Secretary may con- ‘‘(3) DIVERSITY.—Membership of the spe- ‘‘(c) AWARD PROCESSES AND PREF- duct demonstration projects in addition to cialty crops committee shall reflect diver- ERENCES.— the project required by paragraph (1). sity in the specialty crops represented.’’; ‘‘(1) APPLICATION, EVALUATION, AND INPUT ‘‘(B) INAPPLICABILITY OF CERTAIN CRI- (2) in subsection (c), by adding at the end PROCESSES.—In administering the grant pro- TERIA.—The additional demonstration the following: gram under this section, the Secretary projects may be carried out without regard ‘‘(6) Analysis of alignment of specialty shall— to subparagraphs (D), (F), or (G) of para- crop committee recommendations with spe- ‘‘(A) use an appropriate application and graph (2). cialty crop research initiative grants award- evaluation process, as determined by the ‘‘(g) ADDITIONAL AUTHORITY.—The author- ed under section 412(d) of the Agricultural Secretary; and ity provided in this section is in addition to Research, Extension, and Education Reform ‘‘(B) seek the input of interested persons. any other authority of the Secretary to offer Act of 1998 (7 U.S.C. 7632).’’; ‘‘(2) GRANT PREFERENCES.—In selecting re- loans under any other law. (3) by redesignating subsections (d) and (e) cipients of grants to be used for any of the ‘‘(h) EFFECTIVE PERIOD.—Subject to the as subsections (e) and (f), respectively; purposes described in paragraphs (2) through availability of funds and except as otherwise (4) by inserting after subsection (c) the fol- (6) of subsection (d), the Secretary shall give provided in this section, the loans and other lowing: a preference to qualified entities that pro- expenditures required to be made under this ‘‘(d) CONSULTATION WITH SPECIALTY CROP vide documentation of coordination with section shall be available until expended, INDUSTRY.—In studying the scope and effec- other qualified entities, with respect to any with the Secretary authorized to make new tiveness of programs under subsection (a), such purpose. loans as loans are repaid. the specialty crops committee shall consult ‘‘(3) ADDITIONAL PREFERENCES.—In award- ‘‘(i) REGULATIONS.— on an ongoing basis with diverse sectors of ing grants under this section, the Secretary ‘‘(1) IN GENERAL.—Except as otherwise pro- the specialty crop industry.’’; and may develop additional preferences by tak- vided in this subsection, not later than 180 (5) in subsection (f) (as redesignated by ing into account the amount of funds avail- days after the date of enactment of this sec- paragraph (3)), by striking ‘‘subsection (d)’’ able for grants and the purposes for which tion, the Secretary shall promulgate such and inserting ‘‘subsection (e)’’. the grant funds will be used. regulations as are necessary to implement SEC. 7103. VETERINARY SERVICES GRANT PRO- ‘‘(4) APPLICABILITY OF OTHER PROVISIONS.— this section. GRAM. Sections 1413B, 1462(a), 1469(a)(3), 1469(c), and ‘‘(2) PROCEDURE.—The promulgation of the The National Agricultural Research, Ex- 1470 apply to the administration of the grant regulations and administration of this sec- tension, and Teaching Policy Act of 1977 is program under this section. tion shall be made without regard to— amended by inserting after section 1415A (7 ‘‘(d) USE OF GRANTS TO RELIEVE VETERI- ‘‘(A) the Statement of Policy of the Sec- U.S.C. 3151a) the following: NARIAN SHORTAGE SITUATIONS AND SUPPORT retary of Agriculture effective July 24, 1971 ‘‘SEC. 1415B. VETERINARY SERVICES GRANT PRO- VETERINARY SERVICES.—A qualified entity (36 Fed. Reg. 13804), relating to notices of GRAM. may use funds provided by grants under this proposed rulemaking and public participa- ‘‘(a) DEFINITIONS.—In this section: section to relieve veterinarian shortage situ- tion in rulemaking; and ‘‘(1) QUALIFIED ENTITY.—The term ‘quali- ations and support veterinary services for ‘‘(B) chapter 35 of title 44, United States fied entity’ means— the following purposes: Code (commonly known as the ‘Paperwork ‘‘(A) a for-profit or nonprofit entity lo- ‘‘(1) To assist veterinarians with estab- Reduction Act’). cated in the United States that operates a lishing or expanding practices for the pur- ‘‘(3) CONGRESSIONAL REVIEW OF AGENCY veterinary clinic providing veterinary serv- pose of— RULEMAKING.—In carrying out this section, ices— ‘‘(A) equipping veterinary offices; the Secretary shall use the authority pro- ‘‘(i) in a rural area, as defined in section ‘‘(B) sharing in the reasonable overhead vided under section 808 of title 5, United 343(a) of the Consolidated Farm and Rural costs of the practices, as determined by the States Code. Development Act (7 U.S.C. 1991(a)); and Secretary; or

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‘‘(C) establishing mobile veterinary facili- ‘‘(h) REGULATIONS.—Not later than 1 year SEC. 7108. CONTINUING ANIMAL HEALTH AND ties in which a portion of the facilities will after the date of enactment of this section, DISEASE RESEARCH PROGRAMS. address education or extension needs. the Secretary shall promulgate regulations Section 1433 of the National Agricultural ‘‘(2) To promote recruitment (including for to carry out this section. Research, Extension, and Teaching Policy programs in secondary schools), placement, ‘‘(i) AUTHORIZATION OF APPROPRIATIONS.— Act of 1977 (7 U.S.C. 3195) is amended by and retention of veterinarians, veterinary There is authorized to be appropriated to the striking the section designation and heading technicians, students of veterinary medicine, Secretary to carry out this section $10,000,000 and all that follows through subsection (a) and students of veterinary technology. for fiscal year 2013 and each fiscal year and inserting the following: ‘‘(3) To allow veterinary students, veteri- thereafter, to remain available until ex- ‘‘SEC. 1433. APPROPRIATIONS FOR CONTINUING nary interns, externs, fellows, and residents, pended.’’. ANIMAL HEALTH AND DISEASE RE- SEARCH PROGRAMS. and veterinary technician students to cover SEC. 7104. GRANTS AND FELLOWSHIPS FOR FOOD ‘‘(a) AUTHORIZATION OF APPROPRIATIONS.— expenses (other than the types of expenses AND AGRICULTURE SCIENCES EDU- described in 1415A(c)(5)) to attend training CATION. ‘‘(1) IN GENERAL.—There are authorized to be appropriated to support continuing ani- programs in food safety or food animal medi- Section 1417(m) of the National Agricul- mal health and disease research programs at cine. tural Research, Extension, and Teaching eligible institutions such sums as are nec- ‘‘(4) To establish or expand accredited vet- Policy Act of 1977 (7 U.S.C. 3152(m)) is essary, but not to exceed $25,000,000 for each erinary education programs (including fac- amended by striking ‘‘section $60,000,000’’ of fiscal years 1991 through 2017. ulty recruitment and retention), veterinary and all that follows and inserting the fol- ‘‘(2) USE OF FUNDS.—Funds made available residency and fellowship programs, or veteri- lowing: ‘‘section— under this section shall be used— nary internship and externship programs ‘‘(1) $60,000,000 for each of fiscal years 1990 ‘‘(A) to meet the expenses of conducting carried out in coordination with accredited through 2012; and animal health and disease research, pub- colleges of veterinary medicine. ‘‘(2) $40,000,000 for each of fiscal years 2013 lishing and disseminating the results of such ‘‘(5) To assess veterinarian shortage situa- through 2017.’’. tions and the preparation of applications research, and contributing to the retirement submitted to the Secretary for designation SEC. 7105. AGRICULTURAL AND FOOD POLICY RE- of employees subject to the Act of March 4, SEARCH CENTERS. as a veterinarian shortage situation under 1940 (7 U.S.C. 331); section 1415A(b). Section 1419A of the National Agricultural ‘‘(B) for administrative planning and direc- ‘‘(6) To provide continuing education and Research, Extension, and Teaching Policy tion; and extension, including veterinary telemedicine Act of 1977 (7 U.S.C. 3155) is amended— ‘‘(C) to purchase equipment and supplies and other distance-based education, for vet- (1) in the section heading, by inserting necessary for conducting research described erinarians, veterinary technicians, and other ‘‘AGRICULTURAL AND FOOD’’ before ‘‘POL- in subparagraph (A).’’. health professionals needed to strengthen ICY’’; SEC. 7109. GRANTS TO UPGRADE AGRICULTURAL veterinary programs and enhance food safe- (2) in subsection (a), in the matter pre- AND FOOD SCIENCES FACILITIES AT ty. ceding paragraph (1)— 1890 LAND-GRANT COLLEGES, IN- (A) by striking ‘‘Secretary may’’ and in- CLUDING TUSKEGEE UNIVERSITY. ‘‘(e) SPECIAL REQUIREMENTS FOR CERTAIN serting ‘‘Secretary shall, acting through the Section 1447(b) of the National Agricul- GRANTS.— Office of the Chief Economist,’’; and tural Research, Extension, and Teaching ‘‘(1) TERMS OF SERVICE REQUIREMENTS.— (B) by inserting ‘‘with a history of pro- Policy Act of 1977 (7 U.S.C. 3222b(b)) is ‘‘(A) IN GENERAL.—Grants provided under viding unbiased, nonpartisan economic anal- this section for the purpose specified in sub- amended by striking ‘‘2012’’ and inserting ysis to Congress’’ after ‘‘subsection (b)’’; section (d)(1) shall be subject to an agree- ‘‘2017’’. (3) in subsection (b), by striking ‘‘other re- ment between the Secretary and the grant SEC. 7110. GRANTS TO UPGRADE AGRICULTURAL search institutions’’ and all that follows recipient that includes a required term of AND FOOD SCIENCES FACILITIES through ‘‘shall be eligible’’ and inserting AND EQUIPMENT AT INSULAR AREA service for the recipient, as established by ‘‘other public research institutions and orga- LAND-GRANT INSTITUTIONS. the Secretary. nizations shall be eligible’’; Section 1447B(d) of the National Agricul- ‘‘(B) CONSIDERATIONS.—In establishing a (4) in subsection (c)— tural Research, Extension, and Teaching term of service under subparagraph (A), the (A) in the matter preceding paragraph (1), Policy Act of 1977 (7 U.S.C. 3222b–2(d)) is Secretary shall consider only— by inserting ‘‘, with preference given to pol- amended by striking ‘‘2012’’ and inserting ‘‘(i) the amount of the grant awarded; and icy research centers having extensive data- ‘‘2017’’. ‘‘(ii) the specific purpose of the grant. bases, models, and demonstrated experience SEC. 7111. HISPANIC-SERVING INSTITUTIONS. ‘‘(2) BREACH REMEDIES.— in providing Congress with agricultural mar- ‘‘(A) IN GENERAL.—An agreement under Section 1455(c) of the National Agricul- ket projections, rural development analysis, paragraph (1) shall provide remedies for any tural Research, Extension, and Teaching agricultural policy analysis, and baseline breach of the agreement by the grant recipi- Policy Act of 1977 (7 U.S.C. 3241(c)) is amend- projections at the farm, multiregional, na- ent, including repayment or partial repay- ed by striking ‘‘2012’’ and inserting ‘‘2017’’. tional, and international levels,’’ after ‘‘with ment of the grant funds, with interest. SEC. 7112. COMPETITIVE GRANTS FOR INTER- this section’’; and ‘‘(B) WAIVER.—The Secretary may grant a NATIONAL AGRICULTURAL SCIENCE (B) in paragraph (2) by inserting ‘‘applied’’ AND EDUCATION PROGRAMS. wavier of the repayment obligation for after ‘‘theoretical’’; and breach of contract if the Secretary deter- Section 1459A of the National Agricultural (5) by striking subsection (d) and inserting mines that the grant recipient demonstrates Research, Extension, and Teaching Policy the following: ‘‘ extreme hardship or extreme need. Act of 1977 (7 U.S.C. 3292b) is amended by UTHORIZATION OF PPROPRIATIONS striking subsection (c) and inserting the fol- ‘‘(C) TREATMENT OF AMOUNTS RECOVERED.— ‘‘(d) A A .— Funds recovered under this paragraph shall— There is authorized to be appropriated to lowing: ‘‘ ‘‘(i) be credited to the account available to carry out this section $5,000,000 for fiscal ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— carry out this section; and year 2012 and each fiscal year thereafter.’’. There are authorized to be appropriated to ‘‘(ii) remain available until expended. SEC. 7106. EDUCATION GRANTS TO ALASKA NA- carry out this section— ‘‘(1) such sums as are necessary for each of ‘‘(f) COST-SHARING REQUIREMENTS.— TIVE SERVING INSTITUTIONS AND NATIVE HAWAIIAN SERVING INSTI- fiscal years 1999 through 2012; and ‘‘(1) RECIPIENT SHARE.—Subject to para- TUTIONS. ‘‘(2) $5,000,000 for each of fiscal years 2013 graph (2), to be eligible to receive a grant through 2017.’’. under this section, a qualified entity shall Section 1419B of the National Agricultural provide matching non-Federal funds, either Research, Extension, and Teaching Policy SEC. 7113. UNIVERSITY RESEARCH. in cash or in-kind support, in an amount Act of 1977 (7 U.S.C. 3156) is amended— Section 1463 of the National Agricultural equal to not less than 25 percent of the Fed- (1) in subsection (a)— Research, Extension, and Teaching Policy eral funds provided by the grant. (A) in paragraph (1), by striking ‘‘(or Act of 1977 (7 U.S.C. 3311) is amended in each grants without regard to any requirement ‘‘(2) WAIVER.—The Secretary may estab- of subsections (a) and (b) by striking ‘‘2012’’ lish, by regulation, conditions under which for competition)’’; and each place it appears and inserting ‘‘2017’’. the cost-sharing requirements of paragraph (B) in paragraph (3), by striking ‘‘2012’’ and SEC. 7114. EXTENSION SERVICE. (1) may be reduced or waived. inserting ‘‘2017’’; and Section 1464 of the National Agricultural (2) in subsection (b)(1), by striking ‘‘(or ‘‘(g) PROHIBITION ON USE OF GRANT FUNDS Research, Extension, and Teaching Policy grants without regard to any requirement FOR CONSTRUCTION.—Funds made available Act of 1977 (7 U.S.C. 3312) is amended by for competition)’’; and for grants under this section may not be striking ‘‘2012’’ and inserting ‘‘2017’’. (3) in paragraph (3), by striking ‘‘2012’’ and used— SEC. 7115. SUPPLEMENTAL AND ALTERNATIVE inserting ‘‘2017’’. ‘‘(1) to construct a new building or facility; CROPS. or SEC. 7107. NUTRITION EDUCATION PROGRAM. (a) AUTHORIZATION OF APPROPRIATIONS AND ‘‘(2) to acquire, expand, remodel, or alter Section 1425(f) of the National Agricultural TERMINATION.—Section 1473D of the National an existing building or facility, including Research, Extension, and Teaching Policy Agricultural Research, Extension, and site grading and improvement and architect Act of 1977 (7 U.S.C. 3175(f)) is amended by Teaching Policy Act of 1977 (7 U.S.C. 3319d) is fees. striking ‘‘2012’’ and inserting ‘‘2017’’. amended—

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00149 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4080 CONGRESSIONAL RECORD — SENATE June 12, 2012 (1) in subsection (a), by striking ‘‘2012’’ and striking ‘‘section’’ and all that follows and (2) in subsection (b)(2)— inserting ‘‘2017’’; and inserting the following: ‘‘section— (A) by striking the first sentence and in- (2) by adding at the end the following: ‘‘(1) such sums as are necessary for each of serting the following: ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— fiscal years 2002 through 2012; and ‘‘(A) IN GENERAL.—To facilitate the mak- There are authorized to be appropriated to ‘‘(2) $2,000,000 for each of fiscal years 2013 ing of research and extension grants under carry out this section— through 2017.’’. subsection (d), the Secretary may appoint a ‘‘(1) such sums as are necessary for fiscal (b) RESIDENT INSTRUCTION GRANTS FOR IN- task force to make recommendations to the year 2012; and SULAR AREAS.—Section 1491(c) of the Na- Secretary.’’; and ‘‘(2) $1,000,000 for each of fiscal years 2013 tional Agricultural Research, Extension, and (B) in the second sentence, by striking through 2017.’’. Teaching Policy Act of 1977 (7 U.S.C. 3363(c)) ‘‘The Secretary may not incur costs in ex- (b) COMPETITIVE GRANTS.—Section is amended by striking ‘‘such sums as are cess of $1,000 for any fiscal year in connec- 1473D(c)(1) of the National Agricultural Re- necessary’’ and all that follows and inserting tion with each’’ and inserting the following: search, Extension, and Teaching Policy Act the following: ‘‘to carry out this section— ‘‘(B) COSTS.—The Secretary may not incur of 1977 (7 U.S.C. 3319d(c)(1)) is amended by ‘‘(1) such sums as are necessary for each of costs in excess of $1,000 for any fiscal year in striking ‘‘use such research funding, special fiscal years 2002 through 2012; and connection with a’’; or competitive grants, or other means, as the ‘‘(2) $2,000,000 for each of fiscal years 2013 (3) in subsection (e)— Secretary determines,’’ and inserting ‘‘make through 2017.’’. (A) by striking paragraphs (1) through (5), competitive grants’’. Subtitle B—Food, Agriculture, Conservation, (7), (8), (11) through (39), (41) through (43), SEC. 7116. CAPACITY BUILDING GRANTS FOR and Trade Act of 1990 (47), (48), (51), and (52); and NLGCA INSTITUTIONS. (B) by redesignating paragraphs (6), (9), SEC. 7201. BEST UTILIZATION OF BIOLOGICAL AP- (10), (40), (44), (45), (46), (49), and (50) as para- Section 1473F(b) of the National Agricul- PLICATIONS. graphs (1), (2), (3), (4), (5), (6), (7), (8), and (9), tural Research, Extension, and Teaching Section 1624 of the Food, Agriculture, Con- respectively; Policy Act of 1977 (7 U.S.C. 3319i(b)) is servation, and Trade Act of 1990 (7 U.S.C. (4) by striking subsections (f), (g), and (i); amended by striking ‘‘2012’’ and inserting 5814) is amended— (5) by inserting after subsection (e) the fol- ‘‘2017’’. (1) by striking ‘‘$40,000,000 for each fiscal lowing: SEC. 7117. AQUACULTURE ASSISTANCE PRO- year’’; and ‘‘(f) PULSE HEALTH INITIATIVE.— GRAMS. (2) by inserting ‘‘$40,000,000 for each of fis- ‘‘(1) DEFINITIONS.—In this subsection; (a) COMPETITIVE GRANTS.—Section 1475(b) cal years 2012 through 2017’’ after ‘‘chapter’’. ‘‘(A) INITIATIVE.—The term ‘Initiative’ of the National Agricultural Research, Ex- SEC. 7202. INTEGRATED MANAGEMENT SYSTEMS. means the pulse health initiative established tension, and Teaching Policy Act of 1977 (7 Section 1627 of the Food, Agriculture, Con- by paragraph (2). U.S.C. 3322(b)) is amended in the matter pre- servation, and Trade Act of 1990 (7 U.S.C. ‘‘(B) PULSE.—The term ‘pulse’ means dry ceding paragraph (1) by inserting ‘‘competi- 5821) is amended by striking subsection (d) beans, dry peas, lentils, and chickpeas or tive’’ before ‘‘grants’’. and inserting the following: garbanzo beans. (b) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(2) ESTABLISHMENT.—Notwithstanding Section 1477 of the National Agricultural Re- There is authorized to be appropriated to any other provision of law, during the period search, Extension, and Teaching Policy Act carry out this section through the National beginning on the date of enactment of the of 1977 (7 U.S.C. 3324) is amended to read as Institute of Food and Agriculture $20,000,000 Agriculture Reform, Food, and Jobs Act of follows: ‘‘ for each of fiscal years 2012 through 2017.’’. 2012 and ending on September 30, 2017, the ‘‘SEC. 1477. AUTHORIZATION OF APPROPRIA- SEC. 7203. SUSTAINABLE AGRICULTURE TECH- Secretary shall carry out a pulse crop health TIONS. NOLOGY DEVELOPMENT AND and extension initiative to address the crit- ‘‘(a) IN GENERAL.—There are authorized to TRANSFER PROGRAM. ical needs of the pulse crop industry by de- be appropriated to carry out this subtitle— Section 1628 of the Food, Agriculture, Con- veloping and disseminating science-based ‘‘(1) $7,500,000 for each of fiscal years 1991 servation, and Trade Act of 1990 (7 U.S.C. tools and information, including— through 2012; and 5831) is amended by striking subsection (f) ‘‘(A) research in health and nutrition, such ‘‘(2) $5,000,000 for each of fiscal years 2013 and inserting the following: as— through 2017. ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(i) identifying global dietary patterns of ‘‘(b) PROHIBITION ON USE.—Funds made There are authorized to be appropriated to pulse crops in relation to population health; available under this section may not be used carry out this section such sums as are nec- ‘‘(ii) researching pulse crop diets and the to acquire or construct a building.’’. essary for each of fiscal years 2012 through ability of the diets to reduce obesity and as- SEC. 7118. RANGELAND RESEARCH PROGRAMS. 2017.’’. sociated chronic disease (including cardio- Section 1483(a) of the National Agricul- SEC. 7204. NATIONAL TRAINING PROGRAM. vascular disease, type 2 diabetes, and can- tural Research, Extension, and Teaching Section 1629 of the Food, Agriculture, Con- cer); and Policy Act of 1977 (7 U.S.C. 3336(a)) is amend- servation, and Trade Act of 1990 (7 U.S.C. ‘‘(iii) identifying the underlying mecha- ed by striking ‘‘subtitle’’ and all that follows 5832) is amended by striking subsection (i) nisms of the health benefits of pulse crop and inserting the following: ‘‘subtitle— and inserting the following: consumption (including disease biomarkers, ‘‘(1) $10,000,000 for each of fiscal years 1991 ‘‘(i) AUTHORIZATION OF APPROPRIATIONS.— bioactive components, and relevant plant ge- through 2012; and There is authorized to be appropriated to netic components to enhance the health pro- ‘‘(2) $2,000,000 for each of fiscal years 2013 carry out the National Training Program moting value of pulse crops); through 2017.’’. $20,000,000 for each of fiscal years 2012 ‘‘(B) research in functionality, such as— SEC. 7119. SPECIAL AUTHORIZATION FOR BIO- through 2017.’’. ‘‘(i) improving the functional properties of SECURITY PLANNING AND RE- SEC. 7205. NATIONAL GENETICS RESOURCES pulse crops and pulse fractions; SPONSE. PROGRAM. ‘‘(ii) developing new and innovative tech- Section 1484(a) of the National Agricul- Section 1635(b) of the Food, Agriculture, nologies to improve pulse crops as an ingre- tural Research, Extension, and Teaching Conservation, and Trade Act of 1990 (7 U.S.C. dient in food products; and Policy Act of 1977 (7 U.S.C. 3351(a)) is amend- 5844(b)) is amended— ‘‘(iii) developing nutrient-dense food prod- ed by striking ‘‘response such sums as are (1) by striking ‘‘such funds as may be nec- uct solutions to ameliorate chronic disease necessary’’ and all that follows and inserting essary’’; and and enhance food security worldwide; the following: ‘‘response— (2) by striking ‘‘subtitle’’ and all that fol- ‘‘(C) research in sustainability to enhance ‘‘(1) such sums as are necessary for each of lows and inserting the following: ‘‘subtitle— global food security, such as— fiscal years 2002 through 2012; and ‘‘(1) such sums as are necessary for each of ‘‘(i) plant breeding, genetics and genomics ‘‘(2) $20,000,000 for each of fiscal years 2013 fiscal years 1991 through 2012; and to improve productivity, nutrient density, through 2017.’’. ‘‘(2) $1,000,000 for each of fiscal years 2013 and phytonutrient content for a growing SEC. 7120. DISTANCE EDUCATION AND RESIDENT through 2017.’’. world population; INSTRUCTION GRANTS PROGRAM SEC. 7206. NATIONAL AGRICULTURAL WEATHER ‘‘(ii) pest and disease management, includ- FOR INSULAR AREA INSTITUTIONS INFORMATION SYSTEM. ing resistance to pests and diseases resulting OF HIGHER EDUCATION. Section 1641(c) of the Food, Agriculture, in reduced application management strate- (a) DISTANCE EDUCATION GRANTS FOR INSU- Conservation, and Trade Act of 1990 (7 U.S.C. gies; and LAR AREAS.— 5855(c)) is amended by inserting ‘‘and ‘‘(iii) improving nitrogen fixation to re- (1) COMPETITIVE GRANTS.—Section 1490(a) of $1,000,000 for each of fiscal years 2013 through duce the carbon and energy footprint of agri- the National Agricultural Research, Exten- 2017’’ before the period at the end. culture; sion, and Teaching Policy Act of 1977 (7 SEC. 7207. HIGH-PRIORITY RESEARCH AND EX- ‘‘(D) optimizing pulse cropping systems to U.S.C. 3362(a)) is amended by striking ‘‘or TENSION INITIATIVES. reduce water usage; and noncompetitive’’. Section 1672 of the Food, Agriculture, Con- ‘‘(E) education and technical service, such (2) AUTHORIZATION OF APPROPRIATIONS.— servation, and Trade Act of 1990 (7 U.S.C. as— Section 1490(f) of the National Agricultural 5925) is amended— ‘‘(i) providing technical expertise to help Research, Extension, and Teaching Policy (1) in the first sentence of subsection (a), food companies include nutrient-dense pulse Act of 1977 (7 U.S.C. 3362(f)) is amended by by striking ‘‘subsections (e) through (i) of’’; crops in innovative and healthy foods; and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00150 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4081 ‘‘(ii) establishing an educational program ‘‘(C) implementing standards to ensure the ‘‘SEC. 1673. REGIONAL CENTERS OF EXCELLENCE. to encourage the consumption and produc- delivery of quality training through a na- ‘‘(a) ESTABLISHMENT.—The Secretary may tion of pulse crops in the United States and tional curricula; prioritize regional centers of excellence es- other countries. ‘‘(D) building and overseeing a nationally tablished for specific agricultural commod- ‘‘(3) ELIGIBLE ENTITIES.—The Secretary recognized instructor cadre to ensure the ities for the receipt of funding. may carry out the Initiative through— availability of highly qualified instructors; ‘‘(b) COMPOSITION.—A regional center of ex- ‘‘(A) Federal agencies, including the Agri- ‘‘(E) reviewing training proposed through cellence shall be composed of 1 or more col- cultural Research Service and the National the National Institute of Food and Agri- leges and universities (including land-grant Institute of Food and Agriculture; culture and other relevant Federal agencies institutions, schools of forestry, schools of ‘‘(B) National Laboratories; that report to the Secretary on the quality veterinary medicine, or NLGCA Institutions ‘‘(C) institutions of higher education; and content of proposed and existing courses; (as defined in section 1404 of the National ‘‘(D) research institutions or organiza- ‘‘(F) assisting Federal agencies in the im- Agricultural Research, Extension, and tions; plementation of food protection training re- Teaching Policy Act of 1977 (7 U.S.C. 3103))) ‘‘(E) private organizations or corporations; quirements including requirements con- that provide financial support to the re- ‘‘(F) State agricultural experiment sta- tained in the Agriculture Reform, Food, and gional center of excellence. tions; Jobs Act of 2012, the FDA Food Safety Mod- ‘‘(c) CRITERIA FOR REGIONAL CENTERS OF ‘‘(G) individuals; or ernization Act (Public Law 111–353; 124 Stat. EXCELLENCE.—The criteria for consideration ‘‘(H) groups consisting of 2 or more entities 3885), and amendments made by those Acts; to be a regional center of excellence shall in- or individuals described in subparagraphs (A) and clude efforts— through (G). ‘‘(G) performing evaluation and outcome- ‘‘(1) to ensure coordination and cost-effec- ‘‘(4) RESEARCH PROJECT GRANTS.— based studies to provide to the Secretary tiveness by reducing unnecessarily duplica- ‘‘(A) IN GENERAL.—In carrying out this sub- feedback on the effectiveness and impact of tive efforts regarding research, teaching, and section, the Secretary shall award grants on training and metrics on jurisdictions and extension; a competitive basis. sectors within the food safety system. ‘‘(2) to leverage available resources by ‘‘(B) IN GENERAL.—The Secretary shall— ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— using public/private partnerships among ag- ‘‘(i) seek and accept proposals for grants; There is authorized to be appropriated to ricultural industry groups, institutions of ‘‘(ii) determine the relevance and merit of carry out this section $20,000,000 for each of higher education, and the Federal Govern- proposals through a system of peer review, in fiscal years 2013 through 2017, to remain ment; consultation with the pulse crop industry; available until expended.’’; and ‘‘(3) to implement teaching initiatives to (6) in subsection (h), by striking ‘‘2012’’ increase awareness and effectively dissemi- ‘‘(iii) award grants on the basis of merit, each place it appears and inserting ‘‘2017’’; quality, and relevance. nate solutions to target audiences through (7) by redesignating subsection (j) as sub- extension activities; ‘‘(C) PRIORITIES.—In making grants under section (i); and this subsection, the Secretary shall provide a ‘‘(4) to increase the economic returns to (8) in subsection (i) (as so redesignated), by rural communities by identifying, attract- higher priority to projects that— striking ‘‘2012’’ and inserting ‘‘2017’’. ‘‘(i) are multistate, multiinstitutional, and ing, and directing funds to high-priority ag- multidisciplinary; and SEC. 7208. ORGANIC AGRICULTURE RESEARCH ricultural issues; and AND EXTENSION INITIATIVE. ‘‘(ii) include explicit mechanisms to com- ‘‘(5) to improve teaching capacity and in- Section 1672B of the Food, Agriculture, municate results to the pulse crop industry frastructure at colleges and universities (in- Conservation, and Trade Act of 1990 (7 U.S.C. and the public. cluding land-grant institutions, schools of 5925b) is amended— ‘‘(5) AUTHORIZATION OF APPROPRIATIONS.— forestry, and schools of veterinary medicine, (1) in subsection (a)— There is authorized to be appropriated to and NLGCA Institutions). (A) in the matter preceding paragraph (1), carry out this subsection $25,000,000 for each ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— by inserting ‘‘, education,’’ after ‘‘support re- of fiscal years 2013 through 2017. There is authorized to be appropriated to ‘‘(g) TRAINING COORDINATION FOR FOOD AND search’’; carry out this section $10,000,000 for each of AGRICULTURE PROTECTION.— (B) in paragraph (1), by inserting ‘‘and im- fiscal years 2013 through 2017.’’. ‘‘(1) IN GENERAL.—The Secretary shall provement’’ after ‘‘development’’; (C) in paragraph (2), by striking ‘‘to pro- SEC. 7211. ASSISTIVE TECHNOLOGY PROGRAM make grants and enter into contracts or co- FOR FARMERS WITH DISABILITIES. ducers and processors who use organic meth- operative agreements with eligible entities Section 1680(c)(1) of the Food, Agriculture, ods’’ and inserting ‘‘of organic agricultural described in paragraph (2) for the purposes of Conservation, and Trade Act of 1990 (7 U.S.C. production and methods to producers, proc- establishing a Comprehensive Food Safety 5933(c)(1)) is amended— essors, and rural communities’’; Training Network. (1) by striking ‘‘is’’ and inserting ‘‘are’’; (D) in paragraph (5), by inserting ‘‘and re- ‘‘(2) ELIGIBILITY.— and searching solutions to’’ after ‘‘identifying’’; ‘‘(A) IN GENERAL.—For purposes of this sub- (2) by striking ‘‘section’’ and all that fol- and section, an eligible entity is a multiinstitu- lows and inserting the following: ‘‘section— (E) in paragraph (6), by striking ‘‘and mar- tional consortium that includes— ‘‘(A) $6,000,000 for each of fiscal years 1999 keting’’ and inserting ‘‘, marketing, and food ‘‘(i) a nonprofit institution that provides through 2012; and safety’’; administering food protection training; and ‘‘(B) $5,000,000 for each of fiscal years 2013 (2) by striking subsection (e); ‘‘(ii) 1 or more training centers in institu- through 2017.’’. tions of higher education that have dem- (3) by redesignating subsection (f) as sub- onstrated expertise in developing and deliv- section (e); and SEC. 7212. NATIONAL RURAL INFORMATION CEN- TER CLEARINGHOUSE. ering community-based training in food and (4) in subsection (e) (as so redesignated)— Section 2381(e) of the Food, Agriculture, agricultural safety and defense. (A) in paragraph (1)— Conservation, and Trade Act of 1990 (7 U.S.C. ‘‘(B) REQUIREMENTS.—To ensure that co- (i) in subparagraph (A), by striking ‘‘and’’ ordination and administration is provided at the end; 3125b(e)) is amended by striking ‘‘2012’’ and across all the disciplines and provide com- (ii) in subparagraph (B), by striking the pe- inserting ‘‘2017’’. prehensive food protection training, the Sec- riod at the end and inserting ‘‘; and’’; and Subtitle C—Agricultural Research, Extension, retary may only consider an entire consor- (iii) by adding at the end the following: and Education Reform Act of 1998 ‘‘(C) $16,000,000 for each of fiscal years 2013 tium collectively rather than on an institu- SEC. 7301. RELEVANCE AND MERIT OF AGRICUL- tion-by-institution basis. through 2017.’’; and TURAL RESEARCH, EXTENSION, AND ‘‘(C) MEMBERSHIP.—An eligible entity may (B) in paragraph (2), by striking ‘‘2012’’ and EDUCATION FUNDED BY THE DE- alter the consortium membership to meet inserting ‘‘2017’’. PARTMENT. specific training expertise needs. SEC. 7209. FARM BUSINESS MANAGEMENT. Section 103(a)(2) of the Agricultural Re- ‘‘(3) DUTIES OF ELIGIBLE ENTITY.—As a con- Section 1672D(d) of the Food, Agriculture, search, Extension, and Education Reform dition of the receipt of assistance under this Conservation, and Trade Act of 1990 (7 U.S.C. Act of 1998 (7 U.S.C. 7613(a)(2)) is amended— subsection, an eligible entity, in cooperation 5925f(d)) is amended by striking ‘‘such sums (1) by striking the paragraph designation with the Secretary, shall establish and main- as are necessary to carry out this section.’’ and heading and inserting the following: tain the network for an internationally inte- and inserting the following: ‘‘to carry out ‘‘(2) RELEVANCE AND MERIT REVIEW OF RE- grated training system to enhance protec- this section— SEARCH, EXTENSION, AND EDUCATION GRANTS.— tion of the United States food supply, includ- ‘‘(1) such sums as are necessary for fiscal ’’; ing, at a minimum— year 2012; and (2) in subparagraph (A)— ‘‘(A) developing curricula and a training ‘‘(2) $5,000,000 for each of fiscal years 2013 (A) by inserting ‘‘relevance and’’ before network to provide basic, technical, manage- through 2017.’’. ‘‘merit’’; and ment, and leadership training to regulatory SEC. 7210. REGIONAL CENTERS OF EXCELLENCE. (B) by striking ‘‘extension or education’’ and public health officials, producers, proc- Subtitle H of the Food, Agriculture, Con- and inserting, ‘‘research, extension, or edu- essors, and other agrifood businesses; servation, and Trade Act of 1990 is amended cation’’; and ‘‘(B) serving as the hub for the administra- by inserting after section 1672D (7 U.S.C. (3) in subparagraph (B) by inserting ‘‘on a tion of an open training network; 5925) the following: continuous basis’’ after ‘‘procedures’’.

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00151 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4082 CONGRESSIONAL RECORD — SENATE June 12, 2012 SEC. 7302. INTEGRATED RESEARCH, EDUCATION, (1) by striking ‘‘such sums as are nec- ‘‘SEC. 532. DEFINITION OF 1994 INSTITUTIONS. AND EXTENSION COMPETITIVE essary’’; and ‘‘In this part, the term ‘1994 Institutions’ GRANTS PROGRAM. (2) by striking ‘‘section’’ and all that fol- means any 1 of the following: Section 406(f) of the Agricultural Research, lows and inserting the following: ‘‘section— ‘‘(1) Aaniiih Nakoda College. Extension, and Education Reform Act of 1998 ‘‘(1) such sums as are necessary for each of ‘‘(2) Bay Mills Community College. (7 U.S.C. 7626(f)) is amended by striking fiscal years 1999 through 2012; and ‘‘(3) Blackfeet Community College. ‘‘2012’’ and inserting ‘‘2017’’. ‘‘(2) $3,000,000 for each of fiscal years 2013 ‘‘(4) Cankdeska Cikana Community Col- SEC. 7303. SUPPORT FOR RESEARCH REGARDING through 2017.’’. lege. DISEASES OF WHEAT, TRITICALE, ‘‘(5) Chief Dull Knife Memorial College. AND BARLEY CAUSED BY FUSARIUM SEC. 7308. AUTHORIZATION OF REGIONAL INTE- GRATED PEST MANAGEMENT CEN- ‘‘(6) College of Menominee Nation. GRAMINEARUM OR BY TILLETIA ‘‘(7) College of the Muscogee Nation. INDICA. TERS. ‘‘(8) Comanche Nation College. Section 408(e) of the Agricultural Re- Subtitle B of title VI of the Agricultural ‘‘(9) D-Q University. search, Extension, and Education Reform Research, Extension, and Education Reform ‘‘(10) Dine College. Act of 1998 (7 U.S.C. 7628(e)) is amended by Act of 1998 (7 U.S.C. 7651 et seq.) is amended ‘‘(11) Fond du Lac Tribal and Community striking ‘‘such sums as may be necessary for by adding at the end the following: College. each of fiscal years 1999 through 2012’’ and in- ‘‘SEC. 621. AUTHORIZATION OF REGIONAL INTE- ‘‘(12) Fort Berthold Community College. serting ‘‘$10,000,000 for each of fiscal years GRATED PEST MANAGEMENT CEN- ‘‘(13) Fort Peck Community College. 2013 through 2017’’. TERS. ‘‘(14) Haskell Indian Nations University. ‘‘(a) IN GENERAL.—There are established 4 SEC. 7304. GRANTS FOR YOUTH ORGANIZATIONS. ‘‘(15) Ilisagvik College. regional integrated pest management cen- Section 410(d) of the Agricultural Re- ‘‘(16) Institute of American Indian and ters (referred to in this section as the ‘Cen- search, Extension, and Education Reform Alaska Native Culture and Arts Develop- ters’), which shall be located at such specific Act of 1998 (7 U.S.C. 7630(d)) is amended by ment. locations in the north central, northeastern, striking ‘‘section such sums as are nec- ‘‘(17) Keweenaw Bay Ojibwa Community southern, and western regions of the United essary’’ and all that follows and inserting College. States as the Secretary shall specify. the following: ‘‘section— ‘‘(18) Lac Courte Oreilles Ojibwa Commu- ‘‘(1) such sums as are necessary for each of ‘‘(b) PURPOSES.—The purposes of the Cen- nity College. fiscal years 2008 through 2012; and ters shall be— ‘‘(19) Leech Lake Tribal College. ‘‘(2) $3,000,000 for each of fiscal years 2013 ‘‘(1) to strengthen the connection of the ‘‘(20) Little Big Horn College. through 2017.’’. Department with production agriculture, re- ‘‘(21) Little Priest Tribal College. SEC. 7305. SPECIALTY CROP RESEARCH INITIA- search, and extension programs, and agricul- ‘‘(22) Navajo Technical College. TIVE. tural stakeholders throughout the United ‘‘(23) Nebraska Indian Community College. Section 412 of the Agricultural Research, States; ‘‘(24) Northwest Indian College. Extension, and Education Reform Act of 1998 ‘‘(2) to increase the effectiveness of pro- ‘‘(25) Oglala Lakota College. (7 U.S.C. 7632) is amended— viding pest management solutions for the ‘‘(26) Saginaw Chippewa Tribal College. (1) in subsection (b)(3), by inserting ‘‘han- private and public sectors; ‘‘(27) Salish Kootenai College. dling and processing,’’ after ‘‘production effi- ‘‘(3) to quickly respond to information ‘‘(28) Sinte Gleska University. ciency,’’; needs of the public and private sectors; and ‘‘(29) Sisseton Wahpeton College. (2) in subsection (e)— ‘‘(4) to improve communication among the ‘‘(30) Sitting Bull College. (A) in paragraph (1)— relevant stakeholders. ‘‘(31) Southwestern Indian Polytechnic In- (i) in subparagraph (B), by striking ‘‘and’’ ‘‘(c) DUTIES.—In meeting the purposes de- stitute. at the end; scribed in subsection (b) and otherwise car- ‘‘(32) Stone Child College. (ii) in subparagraph (C), by striking the pe- rying out this section, the Centers shall— ‘‘(33) Tohono O’odham Community College. riod at the end and inserting ‘‘; and’’; and ‘‘(1) develop regional strategies to address ‘‘(34) Turtle Mountain Community College. (iii) by inserting after subparagraph (C) the pest management needs; ‘‘(35) United Tribes Technical College. following: ‘‘(2) assist the Department and partner in- ‘‘(36) White Earth Tribal and Community ‘‘(D) consult with the specialty crops com- stitutions of the Department in identifying, College.’’. mittee authorized under section 1408A of the prioritizing, and coordinating a national pest (b) ENDOWMENT FOR 1994 INSTITUTIONS.— National Agricultural Research, Extension, management research, extension, and edu- (1) IN GENERAL.—Section 533 of the Equity and Teaching Policy Act of 1977 (7 U.S.C. cation program implemented on a regional in Educational Land-Grant Status Act of 3123a) during the peer and merit review proc- basis; 1994 (7 U.S.C. 301 note; Public Law 103–382) is ess.’’; and ‘‘(3) establish a national pest management amended— (B) in paragraph (3), by striking ‘‘non-Fed- communication network that includes— (A) in subsection (a)(2)(A)(ii), by striking eral’’ and all that follows through the end of ‘‘(A) the agencies of the Department and ‘‘of such Act as added by section 534(b)(1) of the paragraph and inserting ‘‘other sources other government agencies; this part’’ and inserting ‘‘of that Act (7 in an amount that is at least equal to the ‘‘(B) scientists at institutions of higher U.S.C. 343(b)(3)) and for programs for chil- amount provided by a grant received under education; and dren, youth, and families at risk and for Fed- this section.’’; and ‘‘(C) stakeholders focusing on pest manage- erally recognized tribes implemented under (3) in subsection (h)— ment issues; section 3(d) of that Act (7 U.S.C. 343(d))’’; and (A) in paragraph (1)— ‘‘(4) serve as regional hubs responsible for (B) in subsection (b), in the first sentence (i) by striking ‘‘(1) IN GENERAL.—Of the ensuring efficient access to pest manage- by striking ‘‘2012’’ and inserting ‘‘2017’’. funds’’ and inserting the following: ment expertise and data available through (2) CONFORMING AMENDMENT.—Section 3(d) ‘‘(1) MANDATORY FUNDING.— institutions of higher education; and of the Smith-Lever Act (7 U.S.C. 343(d)) is ‘‘(A) IN GENERAL.—Of the funds’’; and ‘‘(5) on behalf of the Department, manage amended in the second sentence by inserting (ii) by adding at the end the following: grants that can be most effectively and effi- ‘‘and, in the case of programs for children, ‘‘(B) SUBSEQUENT FUNDING.—Of the funds of ciently delivered at the regional level, as de- youth, and families at risk and for Federally the Commodity Credit Corporation, the Sec- termined by the Secretary.’’. recognized tribes, the 1994 Institutions (as retary shall make available to carry out this Subtitle D—Other Laws defined in section 532 of the Equity in Edu- section— cational Land-Grant Status Act of 1994 (7 SEC. 7401. CRITICAL AGRICULTURAL MATERIALS ‘‘(i) $25,000,000 for fiscal year 2013; U.S.C. 301 note; Public Law 103–382)),’’ before ‘‘(ii) $30,000,000 for each of fiscal years 2014 ACT. Section 16(a) of the Critical Agricultural ‘‘may compete for’’. and 2015; (c) INSTITUTIONAL CAPACITY BUILDING Materials Act (7 U.S.C. 178n(a)) is amended— ‘‘(iii) $65,000,000 for fiscal year 2016; and GRANTS.—Section 535 of the Equity in Edu- ‘‘(iv) $50,000,000 for fiscal year 2017 and each (1) by striking ‘‘such sums as are nec- cational Land-Grant Status Act of 1994 (7 fiscal year thereafter.’’; and essary’’; and U.S.C. 301 note; Public Law 103–382) is (B) in paragraph (2), by striking ‘‘2012’’ and (2) by striking ‘‘Act’’ and all that follows amended by striking ‘‘2012’’ each place it ap- inserting ‘‘2017’’. and inserting the following: ‘‘Act— pears in subsections (b)(1) and (c) and insert- SEC. 7306. FOOD ANIMAL RESIDUE AVOIDANCE ‘‘(1) such sums as are necessary for each of ing ‘‘2017’’. DATABASE PROGRAM. fiscal years 1991 through 2012; and (d) RESEARCH GRANTS.—— Section 604(e) of the Agricultural Re- ‘‘(2) $2,000,000 for each of fiscal years 2013 (1) AUTHORIZATION OF APPROPRIATIONS.— search, Extension, and Education Reform through 2017.’’. Section 536(c) of the Equity in Educational Act of 1998 (7 U.S.C. 7642(e)) is amended by SEC. 7402. EQUITY IN EDUCATIONAL LAND- Land-Grant Status Act of 1994 (7 U.S.C. 301 striking ‘‘2012’’ and inserting ‘‘2017’’. GRANT STATUS ACT OF 1994. note; Public Law 103–382) is amended in the SEC. 7307. OFFICE OF PEST MANAGEMENT POL- (a) DEFINITION OF 1994 INSTITUTIONS.—Sec- first sentence by striking ‘‘2012’’ and insert- ICY. tion 532 of the Equity in Educational Land- ing ‘‘2017’’. Section 614(f) of the Agricultural Research, Grant Status Act of 1994 (7 U.S.C. 301 note; (2) RESEARCH GRANT REQUIREMENTS.—Sec- Extension, and Education Reform Act of 1998 Public Law 103–382) is amended to read as tion 536(b) of the Equity in Educational (7 U.S.C. 7653(f)) is amended— follows: Land-Grant Status Act of 1994 (7 U.S.C. 301

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00152 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4083 note; Public Law 103–382) is amended by (B) in subparagraph (C), by striking the pe- PART II—MISCELLANEOUS striking ‘‘with at least 1 other land-grant riod at the end and inserting ‘‘; and’’; and SEC. 7511. GRAZINGLANDS RESEARCH LABORA- college or university’’ and all that follows (C) by adding at the end the following: TORY. and inserting the following: ‘‘with— ‘‘ ‘‘(D) beginning farmers and ranchers who Section 7502 of the Food, Conservation, and ‘‘(1) the Agricultural Research Service of are veterans (as defined in section 101 of title Energy Act of 2008 (Public Law 110–246; 112 the Department of Agriculture; or 38, United States Code).’’; and Stat. 2019) is amended by striking ‘‘for the 5- ‘‘(2) at least 1— (2) in subsection (h)— year period beginning on the date of enact- ‘‘(A) other land-grant college or university (A) in paragraph (1)— ment of this Act’’ and inserting ‘‘until Sep- (exclusive of another 1994 Institution); (i) in subparagraph (A), by striking ‘‘and’’ tember 30, 2017’’. ‘‘(B) non-land-grant college of agriculture at the end; (as defined in section 1404 of the National (ii) in subparagraph (B), by striking the pe- SEC. 7512. BUDGET SUBMISSION AND FUNDING. Agricultural Research, Extension, and riod at the end and inserting ‘‘; and’’; and Section 7506 of the Food, Conservation, and Teaching Policy Act of 1977 (7 U.S.C. 3103)); (iii) by adding at the end the following: Energy Act of 2008 (7 U.S.C. 7614c) is amend- or ‘‘(C) $50,000,000 for fiscal year 2013, to re- ed— ‘‘(C) cooperating forestry school (as de- main available until expended.’’; and (1) in subsection (a)— fined in that section).’’. (B) in paragraph (2), by striking ‘‘2012’’ and (A) by striking ‘‘(a) DEFINITION OF COM- (e) EFFECTIVE DATE.—The amendments inserting ‘‘2017’’. PETITIVE PROGRAMS.—In this section, the made by subsections (a), (b), and (d)(2) take Subtitle E—Food, Conservation, and Energy term’’; and inserting the following: effect on October 1, 2012. Act of 2008 ‘‘(a) DEFINITIONS.—In this section: SEC. 7403. RESEARCH FACILITIES ACT. PART I—AGRICULTURAL SECURITY ‘‘(1) COMPETITIVE PROGRAMS.—The term’’; Section 6(a) of the Research Facilities Act and SEC. 7501. AGRICULTURAL BIOSECURITY COMMU- (7 U.S.C. 390d(a)) is amended by striking NICATION CENTER. (B) by adding at the end the following: ‘‘2012’’ and inserting ‘‘2017’’. Section 14112 of the Food, Conservation, ‘‘(2) COVERED PROGRAM.—The term ‘covered SEC. 7404. COMPETITIVE, SPECIAL, AND FACILI- and Energy Act of 2008 (7 U.S.C. 8912) is program’ means— TIES RESEARCH GRANT ACT. amended by striking subsection (c) and in- ‘‘(A) each research program carried out by Section 2 of the Competitive, Special, and serting the following: the Agricultural Research Service or the Facilities Research Grant Act (7 U.S.C. 450i) ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— Economic Research Service for which annual is amended— There are authorized to be appropriated to appropriations are requested in the annual (1) in subsection (b)(11)(A), in the matter carry out this section— budget submission of the President; and preceding clause (i), by striking ‘‘2012’’ and ‘‘(1) such sums as are necessary for each of ‘‘(B) each competitive program (as defined inserting ‘‘2017’’; and fiscal years 2008 through 2012; and in section 251(f)(1) of the Department of Agri- (2) by adding at the end the following: ‘‘(2) $2,000,000 for each of fiscal years 2013 culture Reorganization Act of 1994 (7 U.S.C. ‘‘(l) STREAMLINING GRANT APPLICATION through 2017.’’. 6971(f)(1))) carried out by the National Insti- tute of Food and Agriculture for which an- PROCESS.—Not later than 1 year after the SEC. 7502. ASSISTANCE TO BUILD LOCAL CAPAC- date of enactment of this subsection, the ITY IN AGRICULTURAL BIOSECURITY nual appropriations are requested in the an- Secretary shall submit to Congress a report PLANNING, PREPARATION, AND RE- nual budget submission of the President. that includes— SPONSE. ‘‘(3) REQUEST FOR AWARDS.—The term ‘re- ‘‘(1) an analysis of barriers that exist in Section 14113 of the Food, Conservation, quest for awards’ means a funding announce- the competitive grants process administered and Energy Act of 2008 (7 U.S.C. 8913) is ment published by the National Institute of by the National Institute of Food and Agri- amended— Food and Agriculture that provides detailed culture that prevent eligible institutions and (1) in subsection (a)(2)— information on funding opportunities at the organizations with limited institutional ca- (A) by striking ‘‘such sums as may be nec- Institute, including the purpose, eligibility, pacity from successfully applying and com- essary’’; and restriction, focus areas, evaluation criteria, peting for competitive grants; and (B) by striking ‘‘subsection’’ and all that regulatory information, and instructions on ‘‘(2) specific recommendations for future follows and inserting the following: ‘‘sub- how to apply for such opportunities.’’; and steps that the Department can take to section— (2) by adding at the end the following: streamline the competitive grants applica- ‘‘(1) such sums as are necessary for each of ‘‘(e) ADDITIONAL PRESIDENTIAL BUDGET tion process so as to remove the barriers and fiscal years 2008 through 2012; and SUBMISSION REQUIREMENT.— increase the success rates of applicants de- ‘‘(2) $15,000,000 for each of fiscal years 2013 ‘‘(1) IN GENERAL.—Each year, the President scribed in paragraph (1).’’. through 2017.’’; and shall submit to Congress, together with the SEC. 7405. ENHANCED USE LEASE AUTHORITY (2) in subsection (b)(2), by striking ‘‘is au- annual budget submission of the President, PILOT PROGRAM UNDER DEPART- thorized to be appropriated to carry out this the information described in paragraph (2) MENT OF AGRICULTURE REORGA- subsection’’ and all that follows and insert- for each funding request for a covered pro- NIZATION ACT OF 1994. ing the following: ‘‘are authorized to be ap- gram. Section 308(b)(6) of the Department of Ag- propriated to carry out this subsection— ‘‘(2) INFORMATION DESCRIBED.—The infor- riculture Reorganization Act of 1994 (7 U.S.C. ‘‘(1) $25,000,000 for each of fiscal years 2008 mation described in this paragraph in- 3125a note; Public Law 103–354) is amended by through 2012; and cludes— striking subparagraph (A) and inserting the ‘‘(2) $15,000,000 for each of fiscal years 2013 ‘‘(A) baseline information, including with following: through 2017.’’. respect to each covered program— ‘‘(A) on September 30, 2017; or’’. SEC. 7503. RESEARCH AND DEVELOPMENT OF AG- ‘‘(i) the funding level for the program for SEC. 7406. RENEWABLE RESOURCES EXTENSION RICULTURAL COUNTERMEASURES. the fiscal year preceding the year the annual ACT OF 1978. Section 14121(b) of the Food, Conservation, budget submission of the President is sub- (a) AUTHORIZATION OF APPROPRIATIONS.— and Energy Act of 2008 (7 U.S.C. 8921(b)) is mitted; Section 6 of the Renewable Resources Exten- amended by striking ‘‘is authorized to be ap- ‘‘(ii) the funding level requested in the an- sion Act of 1978 (16 U.S.C. 1675) is amended in propriated to carry out this section’’ and all nual budget submission of the President, in- the first sentence by striking ‘‘2012’’ and in- that follows and inserting the following: cluding any increase or decrease in the fund- serting ‘‘2017’’. ‘‘are authorized to be appropriated to carry ing level; and (b) TERMINATION DATE.—Section 8 of the out this section— ‘‘(iii) an explanation justifying any change Renewable Resources Extension Act of 1978 ‘‘(1) $50,000,000 for each of fiscal years 2008 from the funding level specified in clause (i) (16 U.S.C. 1671 note; Public Law 95–306) is through 2012; and to the level specified in clause (ii); amended by striking ‘‘2012’’ and inserting ‘‘(2) $15,000,000 for each of fiscal years 2013 ‘‘(B) with respect to each covered program ‘‘2017’’. through 2017.’’. that is carried out by the Economic Re- SEC. 7407. NATIONAL AQUACULTURE ACT OF 1980. SEC. 7504. AGRICULTURAL BIOSECURITY GRANT search Service or the Agricultural Research Section 10 of the National Aquaculture Act PROGRAM. Service, the location and staff years of the of 1980 (16 U.S.C. 2809) is amended by striking Section 14122(e) of the Food, Conservation, program; ‘‘2012’’ each place it appears and inserting and Energy Act of 2008 (7 U.S.C. 8922(e)) is ‘‘(C) the proposed funding levels to be allo- ‘‘2017’’. amended— cated to, and the expected publication date, SEC. 7408. BEGINNING FARMER AND RANCHER (1) by striking ‘‘such sums as are nec- scope, and allocation level for, each request DEVELOPMENT PROGRAM UNDER essary’’; and for awards to be published under— FARM SECURITY AND RURAL IN- (2) by striking ‘‘section’’ and all that fol- ‘‘(i) each priority area specified in section VESTMENT ACT OF 2002. lows and inserting the following: ‘‘section— 2(b)(2) of the Competitive, Special, and Fa- Section 7405 of the Farm Security and ‘‘(1) such sums as are necessary for each of cilities Research Grant Act (7 U.S.C. Rural Investment Act of 2002 (7 U.S.C. 3319f) fiscal years 2008 through 2012, to remain 450i(b)(2)); is amended— available until expended; and ‘‘(ii) each research and extension project (1) in subsection (c)(8)— ‘‘(2) $5,000,000 for each of fiscal years 2013 carried out under section 1621(a) of the Food, (A) in subparagraph (B), by striking ‘‘and’’ through 2017, to remain available until ex- Agriculture, Conservation, and Trade Act of at the end; pended.’’. 1990 (7 U.S.C. 5811(a));

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‘‘(iii) each grant awarded under section (C) in subparagraph (C), by striking ‘‘at (d) DUTIES.— 1672B(a) of the Food, Agriculture, Conserva- Oklahoma State University’’; (1) IN GENERAL.—The Foundation shall— tion, and Trade Act of 1990 (7 U.S.C. 5925b(a)); (D) in subparagraph (D), by striking ‘‘at (A) award grants to, or enter into con- ‘‘(iv) each grant awarded under section Oregon State University’’; tracts, memoranda of understanding, or co- 412(b) of the Agricultural Research, Exten- (E) in subparagraph (E), by striking ‘‘at operative agreements with, scientists and sion, and Education Reform Act of 1998 (7 Cornell University’’; and entities, which may include agricultural re- U.S.C. 7632(b)); and (F) in subparagraph (F), by striking ‘‘at search agencies in the Department, univer- ‘‘(v) each grant awarded under 7405(c)(1) of the University of Hawaii’’; sity consortia, public-private partnerships, the Farm Security and Rural Investment (3) in subsection (c)(1)— institutions of higher education, nonprofit Act of 2002 (7 U.S.C. 3319f(c)(1)); or (A) in subparagraph (B), by striking organizations, and industry, to efficiently ‘‘(D) any other information the Secretary ‘‘multistate’’ and all that follows through and effectively advance the goals and prior- determines will increase congressional over- ‘‘technology implementation’’ and inserting ities of the Foundation; sight with respect to covered programs. ‘‘integrated, multistate research, extension, (B) in consultation with the Secretary— ‘‘(3) PROHIBITION.—Unless the President and education programs on technology devel- (i) identify existing and proposed Federal submits the information described in para- opment and technology implementation’’; intramural and extramural research and de- graph (2)(C) for a fiscal year, the President (B) by striking subparagraph (C); and velopment programs relating to the purposes may not carry out any program during the (C) by redesignating subparagraph (D) as of the Foundation described in subsection fiscal year that is authorized under— subparagraph (C); (c); and ‘‘(A) section 2(b) of the Competitive, Spe- (4) in subsection (d)— (ii) coordinate Foundation activities with cial, and Facilities Research Grant Act (7 (A) in paragraph (1)— those programs so as to minimize duplica- U.S.C. 450i(b)); (i) by striking ‘‘gasification’’ and inserting tion of existing efforts; ‘‘(B) section 1621 of the Food, Agriculture, ‘‘bioproducts’’; and (C) identify unmet and emerging agricul- Conservation, and Trade Act of 1990 (7 U.S.C. (ii) by striking ‘‘the Department of En- tural research needs after reviewing the 5811); ergy’’ and inserting ‘‘other appropriate Fed- Roadmap for Agricultural Research, Edu- ‘‘(C) section 1672B of the Food, Agriculture, eral agencies’’; cation and Extension as required by section Conservation, and Trade Act of 1990 (7 U.S.C. (B) by striking paragraph (2); 7504 of the Food, Conservation, and Energy 5925b); (C) by redesignating paragraphs (3) and (4) Act of 2008 (7 U.S.C. 7614a); ‘‘(D) section 411 of the Agricultural Re- as paragraphs (2) and (3), respectively; and (D) facilitate technology transfer and re- search, Extension, and Education Reform (D) in paragraph (1), by striking ‘‘in ac- lease of information and data gathered from Act of 1998 (7 U.S.C. 7631); or cordance with paragraph (2)’’; and the activities of the Foundation to the agri- ‘‘(E) section 7405 of the Farm Security and (5) in subsection (g), by striking ‘‘2012’’ and cultural research community; Rural Investment Act of 2002 (7 U.S.C. 3319f). inserting ‘‘2017’’. (E) promote and encourage the develop- ‘‘(f) REPORT OF THE SECRETARY OF AGRI- (b) CONFORMING AMENDMENTS.—Section ment of the next generation of agricultural CULTURE.—Each year on a date that is not 7526(f) of the Food, Conservation, and Energy research scientists; and later than the date on which the President Act of 2008 (7 U.S.C. 8114(f)) is amended— (F) carry out such other activities as the submits the annual budget submission, the (1) in paragraph (1), by striking ‘‘sub- Board determines to be consistent with the Secretary shall submit to Congress a report section (c)(1)(D)(i)’’ and inserting ‘‘sub- purposes of the Foundation. containing a description of the agricultural section (c)(1)(C)(i)’’; and (2) AUTHORITY.—Subject to paragraph (3), research, extension, and education activities (2) in paragraph (2), by striking ‘‘sub- the Foundation shall be the sole entity re- carried out by the Federal Government dur- section (d)(1)’’ and inserting ‘‘subsection sponsible for carrying out the duties enumer- ing the fiscal year that immediately pre- (d)’’. ated in this subsection. cedes the year for which the report is sub- Subtitle F—Miscellaneous (3) RELATIONSHIP TO OTHER ACTIVITIES.— mitted, including— The activities described in paragraph (1) SEC. 7601. FOUNDATION FOR FOOD AND AGRI- ‘‘(1) a review of the extent to which those CULTURE RESEARCH. shall be supplemental to any other activities activities— (a) DEFINITIONS.—In this section: at the Department and shall not preempt ‘‘(A) are duplicative or overlap within the (1) BOARD.—The term ‘‘Board’’ means the any authority or responsibility of the De- Department of Agriculture; or Board of Directors described in subsection partment under another provision of law. ‘‘(B) are similar to activities carried out (e). (e) BOARD OF DIRECTORS.— by— (2) DEPARTMENT.—The term ‘‘Department’’ (1) ESTABLISHMENT.—The Foundation shall ‘‘(i) other Federal agencies; means the Department of Agriculture. be governed by a Board of Directors. ‘‘(ii) the States (including the District of (3) FOUNDATION.—The term ‘‘Foundation’’ (2) COMPOSITION.— Columbia, the Commonwealth of Puerto means the Foundation for Food and Agri- (A) IN GENERAL.—The Board shall be com- Rico and other territories or possessions of culture Research established under sub- posed of appointed and ex-officio, nonvoting the United States); section (b). members. ‘‘(iii) institutions of higher education (as (4) SECRETARY.—The term ‘‘Secretary’’ (B) EX-OFFICIO MEMBERS.—The ex-officio defined in section 101 of the Higher Edu- means the Secretary of Agriculture. members of the Board shall be the following cation Act of 1965 (20 U.S.C. 1001)); or (b) ESTABLISHMENT.— individuals or designees: ‘‘(iv) the private sector; and (1) IN GENERAL.—The Secretary shall estab- (i) The Secretary. ‘‘(2) for each report submitted under this lish a nonprofit corporation to be known as (ii) The Under Secretary of Agriculture for section on or after January 1, 2013, a 5-year the ‘‘Foundation for Food and Agriculture Research, Education, and Economics. projection of national priorities with respect Research’’. (iii) The Administrator of the Agricultural to agricultural research, extension, and edu- (2) STATUS.—The Foundation shall not be Research Service. cation, taking into account both domestic an agency or instrumentality of the United (iv) The Director of the National Institute and international needs.’’. States Government. of Food and Agriculture. SEC. 7513. NATURAL PRODUCTS RESEARCH PRO- (c) PURPOSES.—The purposes of the Foun- (v) The Director of the National Science GRAM. dation shall be— Foundation. Section 7525 of the Food, Conservation, and (1) to advance the research mission of the (C) APPOINTED MEMBERS.— Energy Act of 2008 (7 U.S.C. 5937) is amended Department by supporting agricultural re- (i) IN GENERAL.—The ex-officio members of by striking subsection (e) and inserting the search activities focused on addressing key the Board under subparagraph (B) shall, by following: problems of national and international sig- majority vote, appoint to the Board 15 indi- ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.— nificance including— viduals, of whom— There is authorized to be appropriated to (A) plant health, production, and plant (I) 8 shall be selected from a list of can- carry out this section $7,000,000 for each of products; didates to be provided by the National Acad- fiscal years 2013 through 2017.’’. (B) animal health, production, and prod- emy of Sciences; and SEC. 7514. SUN GRANT PROGRAM. ucts; (II) 7 shall be selected from lists of can- (a) IN GENERAL.—Section 7526 of the Food, (C) food safety, nutrition, and health; didates provided by industry. Conservation, and Energy Act of 2008 (7 (D) renewable energy, natural resources, (ii) REQUIREMENTS.— U.S.C. 8114) is amended— and the environment; (I) EXPERTISE.—The ex-officio members (1) in subsection (a)(4)(B), by striking ‘‘the (E) agricultural and food security; shall ensure that a majority of the members Department of Energy’’ and inserting ‘‘other (F) agriculture systems and technology; of the Board have actual experience in agri- appropriate Federal agencies (as determined and cultural research and, to the extent prac- by the Secretary)’’; (G) agriculture economics and rural com- ticable, represent diverse sectors of agri- (2) in subsection (b)(1)— munities; and culture. (A) in subparagraph (A), by striking ‘‘at (2) to foster collaboration with agricul- (II) LIMITATION.—No employee of the Fed- South Dakota State University’’; tural researchers from the Federal Govern- eral Government may serve as an appointed (B) in subparagraph (B), by striking ‘‘at ment, institutions of higher education, in- member of the Board under this subpara- the University of Tennessee at Knoxville’’; dustry, and nonprofit organizations. graph.

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(III) NOT FEDERAL EMPLOYMENT.—Appoint- (6) COMPENSATION.—Members of the Board (B) REPORTS.— ment to the Board under this subparagraph may not receive compensation for service on (i) ANNUAL REPORT ON FOUNDATION.— shall not constitute Federal employment. the Board but may be reimbursed for travel, (I) IN GENERAL.—Not later than 5 months (iii) AUTHORITY.—All appointed members of subsistence, and other necessary expenses in- following the end of each fiscal year, the the Board shall be voting members. curred in carrying out the duties of the Foundation shall publish a report for the (D) CHAIR.—The Board shall, from among Board. preceding fiscal year that includes— the members of the Board, designate an indi- (7) MEETINGS AND QUORUM.—A majority of (aa) a description of Foundation activities, vidual to serve as Chair of the Board. the members of the Board shall constitute a including accomplishments; and (3) INITIAL MEETING.—Not later than 60 quorum for purposes of conducting business (bb) a comprehensive statement of the op- days after the date of enactment of this Act, of the Board. erations and financial condition of the Foun- the Secretary shall convene a meeting of the (f) ADMINISTRATION.— dation. ex-officio members of the Board— (1) EXECUTIVE DIRECTOR.— (II) FINANCIAL CONDITION.—Each report (A) to incorporate the Foundation; and (A) IN GENERAL.—The Board shall hire an under subclause (I) shall include a descrip- (B) to appoint the members of the Board in Executive Director who shall carry out such tion of all gifts or grants to the Foundation accordance with paragraph (2)(C)(i). duties and responsibilities as the Board may of real or personal property or money, which prescribe. shall include— (4) DUTIES.— (B) SERVICE.—The Executive Director shall (aa) the source of the gifts or grants; and (A) IN GENERAL.—The Board shall— serve at the pleasure of the Board. (i) establish bylaws for the Foundation (bb) any restrictions on the purposes for (2) ADMINISTRATIVE POWERS.— which the gift or grant may be used. that, at a minimum, include— (A) IN GENERAL.—In carrying out this sec- (III) AVAILABILITY.—The Foundation (I) policies for the selection of future tion, the Board, acting through the Execu- shall— Board members, officers, employees, agents, tive Director, may— (aa) make copies of each report submitted and contractors of the Foundation; (i) adopt, alter, and use a corporate seal, under subclause (I) available for public in- (II) policies, including ethical standards, which shall be judicially noticed; spection; and for— (ii) hire, promote, compensate, and dis- (bb) on request, provide a copy of the re- (aa) the acceptance, solicitation, and dis- charge 1 or more officers, employees, and port to any individual. position of donations and grants to the agents, as may be necessary, and define the (IV) PUBLIC MEETING.—The Board shall Foundation; and duties of the officers, employees, and agents; hold an annual public meeting to summarize (bb) the disposition of assets of the Foun- (iii) solicit and accept any funds, gifts, the activities of the Foundation. dation, including appropriate limits on the grants, devises, or bequests of real or per- (ii) GRANT REPORTING.—Any recipient of a ability of donors to designate, by stipulation sonal property made to the Foundation, in- grant under subsection (d)(1)(A) shall provide or restriction, the use or recipient of donated cluding such support from private entities; the Foundation with a report at the conclu- funds; (iv) prescribe the manner in which— sion of any research or studies conducted the (III) policies that would subject all em- (I) real or personal property of the Founda- describes the results of the research or stud- ployees, fellows, trainees, and other agents tion is acquired, held, and transferred; ies, including any data generated. of the Foundation (including members of the (II) general operations of the Foundation (4) INTEGRITY.— Board) to the conflict of interest standards are to be conducted; and (A) IN GENERAL.—To ensure integrity in under section 208 of title 18, United States (III) the privileges granted to the Board by the operations of the Foundation, the Board Code; law are exercised and enjoyed; shall develop and enforce procedures relating (IV) policies for writing, editing, printing, (v) with the consent of the applicable exec- to standards of conduct, financial disclosure publishing, and vending of books and other utive department or independent agency, use statements, conflict of interest (including materials; the information, services, and facilities of recusal and waiver rules), audits, and any (V) policies for the conduct of the general the department or agency in carrying out other matters determined appropriate by the operations of the Foundation, including a this section; Board. cap on administrative expenses for recipients (vi) enter into contracts with public and (B) FINANCIAL CONFLICTS OF INTEREST.— of a grant, contract, or cooperative agree- private organizations for the writing, edit- Any individual who is an officer, employee, ment from the Foundation; and ing, printing, and publishing of books and or member of the Board is prohibited from (VI) specific duties for the Executive Di- other material; any participation in deliberations by the rector; (vii) hold, administer, invest, and spend Foundation of a matter that would directly (ii) prioritize and provide overall direction any gift, devise, or bequest of real or per- or predictably affect any financial interest for the activities of the Foundation; sonal property made to the Foundation; of— (iii) evaluate the performance of the Exec- (viii) enter into such contracts, leases, co- (i) the individual; utive Director; and operative agreements, and other trans- (ii) a relative (as defined in section 109 of (iv) carry out any other necessary activi- actions as the Board considers appropriate to the Ethics in Government Act of 1978 (5 ties regarding the Foundation. conduct the activities of the Foundation; U.S.C. App.)) of that individual; or (B) ESTABLISHMENT OF BYLAWS.—In estab- (ix) modify or consent to the modification (iii) a business organization or other entity lishing bylaws under subparagraph (A)(i), the of any contract or agreement to which the in which the individual has an interest, in- Board shall ensure that the bylaws do not— Foundation is a party or in which the Foun- cluding an organization or other entity with (i) reflect unfavorably on the ability of the dation has an interest; which the individual is negotiating employ- Foundation to carry out the duties of the (x) take such action as may be necessary ment. Foundation in a fair and objective manner; to obtain patents and licenses for devices (5) INTELLECTUAL PROPERTY.—The Board or and procedures developed by the Foundation shall adopt written standards to govern own- (ii) compromise, or appear to compromise, and employees of the Foundation; ership of any intellectual property rights de- the integrity of any governmental agency or (xi) sue and be sued in the corporate name rived from the collaborative efforts of the program, or any officer or employee em- of the Foundation, and complain and defend Foundation. ployed by or involved in a governmental in courts of competent jurisdiction; (6) LIABILITY.—The United States shall not agency or program. (xii) appoint other groups of advisors as be liable for any debts, defaults, acts, or (5) TERMS AND VACANCIES.— may be determined necessary to carry out omissions of the Foundation nor shall the (A) TERMS.— the functions of the Foundation; and full faith and credit of the United States ex- (i) IN GENERAL.—The term of each member (xiii) exercise such other incidental powers tend to any obligations of the Foundation. of the Board appointed under paragraph as are necessary to carry out the duties and (g) FUNDS.— (2)(C) shall be 5 years. functions of the Foundation in accordance (1) MANDATORY FUNDING.— (ii) PARTIAL TERMS.—If a member of the with this section (A) IN GENERAL.—On October 1, 2012, of the Board does not serve the full term applicable (B) LIMITATION.—No appointed member of funds of the Commodity Credit Corporation, under clause (i), the individual appointed to the Board or officer or employee of the Foun- the Secretary shall transfer to the Founda- fill the resulting vacancy shall be appointed dation or of any program established by the tion to carry out this section $100,000,000, to for the remainder of the term of the prede- Foundation (other than ex-officio members remain available until expended under the cessor of the individual. of the Board) shall exercise administrative conditions described in subparagraph (B). (iii) TRANSITION.—A member of the Board control over any Federal employee (B) CONDITIONS ON EXPENDITURE.—The may continue to serve after the expiration of (3) RECORDS.— Foundation may use the funds made avail- the term of the member until a successor is (A) AUDITS.—The Foundation shall— able under subparagraph (A) to carry out the appointed. (i) provide for annual audits of the finan- purposes of the Foundation only to the ex- (B) VACANCIES.—Any vacancy in the mem- cial condition of the Foundation; and tent that the Foundation secures an equal bership of the Board shall be filled in the (ii) make the audits, and all other records, amount of non-Federal matching funds for manner in which the original position was documents, and other papers of the Founda- each expenditure. made and shall not affect the power of the tion, available to the Secretary and the (C) PROHIBITION ON CONSTRUCTION.—None of remaining members to execute the duties of Comptroller General of the United States for the funds made available under subparagraph the Board. examination or audit. (A) may be used for construction.

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(2) SEPARATION OF FUNDS.—The Executive amended by striking subsection (g) and in- ernor of the State, that the Secretary deter- Director shall ensure that any funds received serting the following: mines, based on annual forest health sur- under paragraph (1) are held in separate ac- ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.— veys, are experiencing declining forest counts from funds received from nongovern- There is authorized to be appropriated to health due to insect or disease infestation. mental entities as described in subsection carry out this section $50,000,000 for each of ‘‘(b) TREATMENT OF AREAS.—The Secretary (f)(2)(A)(iii). fiscal years 2013 through 2017.’’. may carry out treatments to address the in- TITLE VIII—FORESTRY SEC. 8105. URBAN AND COMMUNITY FORESTRY sect or disease infestation in the areas des- ASSISTANCE. ignated under subsection (a) in accordance Subtitle A—Repeal of Certain Forestry Section 9(i) of the Cooperative Forestry with sections 104, 105, 106, and 401. Programs Assistance Act of 1978 (16 U.S.C. 2105(i)) is ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.— SEC. 8001. FOREST LAND ENHANCEMENT PRO- amended by striking ‘‘such sums as may be There is authorized to be appropriated to GRAM. necessary for each fiscal year thereafter’’ carry out this section $100,000,000 for each of (a) REPEAL.—Section 4 of the Cooperative and inserting ‘‘$50,000,000 for each of fiscal fiscal years 2013 through 2017.’’. Forestry Assistance Act of 1978 (16 U.S.C. years 2013 through 2017’’. (c) AUTHORIZATION OF APPROPRIATIONS.— 2103) is repealed. Subtitle C—Reauthorization of Other Section 407 of the Healthy Forests Restora- (b) CONFORMING AMENDMENT.—Section 8002 tion Act of 2003 (as redesignated by sub- of the Farm Security and Rural Investment Forestry-related Laws section (b)(1)) is amended by striking ‘‘2008’’ Act of 2002 (Public Law 107–171; 16 U.S.C. 2103 SEC. 8201. RURAL REVITALIZATION TECH- and inserting ‘‘2017’’. note) is amended by striking subsection (a). NOLOGIES. SEC. 8204. STEWARDSHIP END RESULT CON- (c) EFFECTIVE DATE.—The amendments Section 2371(d)(2) of the Food, Agriculture, TRACTING PROJECTS. made by this section shall take effect on Oc- Conservation, and Trade Act of 1990 (7 U.S.C. tober 1, 2012. 6601(d)(2)) is amended by striking ‘‘2012’’ and (a) IN GENERAL.—Title VI of the Healthy inserting ‘‘2017’’. Forests Restoration Act of 2003 (16 U.S.C. SEC. 8002. WATERSHED FORESTRY ASSISTANCE 6591) is amended by adding at the end the fol- PROGRAM. SEC. 8202. OFFICE OF INTERNATIONAL FOR- lowing: (a) REPEAL.—Section 6 of the Cooperative ESTRY. Forestry Assistance Act of 1978 (16 U.S.C. Section 2405 of the Global Climate Change ‘‘SEC. 602. STEWARDSHIP END RESULT CON- 2103b) is repealed. Prevention Act of 1990 (7 U.S.C. 6704) is TRACTING PROJECTS. (b) EFFECTIVE DATE.—The amendment amended by striking subsection (d) and in- ‘‘(a) DEFINITIONS.—In this section: made by this section shall take effect on Oc- serting the following: ‘‘(1) CHIEF.—The term ‘Chief’ means the tober 1, 2012. ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— Chief of the Forest Service. To carry out this section, there are author- ‘‘(2) DIRECTOR.—The term ‘Director’ means SEC. 8003. EXPIRED COOPERATIVE NATIONAL FOREST PRODUCTS MARKETING ized to be appropriated— the Director of the Bureau of Land Manage- PROGRAM. ‘‘(1) such sums as are necessary for each of ment. Section 18 of the Cooperative Forestry As- fiscal years 1996 through 2012; and ‘‘(b) PROJECTS.—The Chief and the Direc- sistance Act of 1978 (16 U.S.C. 2112) is re- ‘‘(2) $10,000,000 for each of fiscal years 2013 tor, via agreement or contract as appro- pealed. through 2017.’’. priate, may enter into stewardship con- SEC. 8004. HISPANIC-SERVING INSTITUTION AG- SEC. 8203. INSECT INFESTATIONS AND RELATED tracting projects with private persons or RICULTURAL LAND NATIONAL RE- DISEASES. other public or private entities to perform SOURCES LEADERSHIP PROGRAM. (a) FINDINGS AND PURPOSES.—Section 401 of services to achieve land management goals (a) REPEAL.—Section 8402 of the Food, Con- the Healthy Forests Restoration Act of 2003 for the national forests and the public lands servation, and Energy Act of 2008 (16 U.S.C. (16 U.S.C. 6551) is amended— that meet local and rural community needs. 1649a) is repealed. (1) in subsection (a)— ‘‘(c) LAND MANAGEMENT GOALS.—The land (b) EFFECTIVE DATE.—The amendment (A) by redesignating paragraphs (3) management goals of a project under sub- made by this section shall take effect on Oc- through (12) as paragraphs (4) through (13), section (b) may include— tober 1, 2012. respectively; and ‘‘(1) road and trail maintenance or obliter- SEC. 8005. TRIBAL WATERSHED FORESTRY AS- (B) by inserting after paragraph (2) the fol- ation to restore or maintain water quality; SISTANCE PROGRAM. lowing: ‘‘(2) soil productivity, habitat for wildlife (a) REPEAL.—Section 303 of the Healthy ‘‘(3) the mountain pine beetle is— and fisheries, or other resource values; Forests Restoration Act of 2003 (16 U.S.C. ‘‘(A) threatening and ravaging forests ‘‘(3) setting of prescribed fires to improve 6542) is repealed. throughout the Western region of the United the composition, structure, condition, and (b) EFFECTIVE DATE.—The amendment States, including Arizona, California, Colo- health of stands or to improve wildlife habi- made by this section shall take effect on Oc- rado, Idaho, Montana, Nevada, New Mexico, tat; tober 1, 2012. Oregon, and South Dakota; ‘‘(4) removing vegetation or other activi- ‘‘(B) reaching epidemic populations and se- Subtitle B—Reauthorization of Cooperative ties to promote healthy forest stands, reduce verely impacting over 41,000,000 acres in Forestry Assistance Act of 1978 Programs fire hazards, or achieve other land manage- western forests; and ment objectives; SEC. 8101. STATE-WIDE ASSESSMENT AND STRAT- ‘‘(C) deteriorating forest health in national ‘‘(5) watershed restoration and mainte- EGIES FOR FOREST RESOURCES. forests and, when combined with drought, nance; Section 2A(f)(1) of the Cooperative For- disease, and storm damage, is resulting in ‘‘(6) restoration and maintenance of wild- estry Assistance Act of 1978 (16 U.S.C. extreme fire hazards in national forests life and fish; or 2101a(f)(1)) is amended by striking ‘‘2012’’ and across the Western United States and endan- ‘‘(7) control of noxious and exotic weeds inserting ‘‘2017’’. gering the economic stability of surrounding and reestablishing. SEC. 8102. FOREST STEWARDSHIP PROGRAM. adjacent communities, ranches, and parks;’’; ‘‘(d) AGREEMENTS OR CONTRACTS.— Section 5(h) of the Cooperative Forestry and ‘‘(1) PROCUREMENT PROCEDURE.—A source Assistance Act of 1978 (16 U.S.C. 2103a(h)) is (2) in subsection (b)— for performance of an agreement or contract amended by striking ‘‘such sums as may be (A) in paragraph (2), by striking ‘‘and’’ at under subsection (b) shall be selected on a necessary thereafter’’ and inserting the end; best-value basis, including consideration of ‘‘$50,000,000 for each of fiscal years 2013 (B) in paragraph (3), by striking the period source under other public and private agree- through 2017’’. at the end and inserting ‘‘; and’’; and ments or contracts. SEC. 8103. FOREST LEGACY PROGRAM. (C) by adding at the end the following: ‘‘(2) CONTRACT FOR SALE OF PROPERTY.—A Section 7 of the Cooperative Forestry As- ‘‘(4) to provide for designation of treat- contract entered into under this section sistance Act of 1978 (16 U.S.C. 2103c) is ment areas pursuant to section 405.’’. may, at the discretion of the Secretary of amended by striking subsection (m) and in- (b) DESIGNATION OF TREATMENT AREAS.— Agriculture, be considered a contract for the serting the following: Title IV of the Healthy Forests Restoration sale of property under such terms as the Sec- ‘‘(m) FUNDING.— Act of 2003 (16 U.S.C. 6551 et seq.) is amend- retary may prescribe without regard to any ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— ed— other provision of law. There is authorized to be appropriated to (1) by redesignating sections 405 and 406 (16 ‘‘(3) TERM.— carry out this section $200,000,000 for each of U.S.C. 6555, 6556) as sections 406 and 407, re- ‘‘(A) IN GENERAL.—Except as provided in fiscal years 2013 through 2017. spectively; and subparagraph (B), the Chief and the Director ‘‘(2) ADDITIONAL FUNDING SOURCES.—In ad- (2) by inserting after section 404 (16 U.S.C. may enter into a contract under subsection dition to any funds appropriated for each fis- 6554) the following: (b) in accordance with section 3903 of title 41, cal year to carry out this section, the Sec- ‘‘SEC. 405. DESIGNATION OF TREATMENT AREAS. United States Code. retary may use any other Federal funds ‘‘(a) DESIGNATION OF TREATMENT AREAS.— ‘‘(B) MAXIMUM.—The period of the contract available to the Secretary.’’. Not later than 60 days after the date of en- under subsection (b) may exceed 5 years but SEC. 8104. COMMUNITY FOREST AND OPEN actment of the Agriculture Reform, Food, may not exceed 10 years. SPACE CONSERVATION PROGRAM. and Jobs Act of 2012, the Secretary shall des- ‘‘(4) OFFSETS.— Section 7A of the Cooperative Forestry As- ignate treatment areas on at least 1 national ‘‘(A) IN GENERAL.—The Chief and the Direc- sistance Act of 1978 (16 U.S.C. 2103d) is forest in each State, if requested by the Gov- tor may apply the value of timber or other

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forest products removed as an offset against ‘‘(h) MONITORING AND EVALUATION.— ‘‘(c) ADDITIONAL SOURCE OF FUNDS.—In ad- the cost of services received under the agree- ‘‘(1) IN GENERAL.—The Chief and the Direc- dition to funds appropriated pursuant to the ment or contract described in subsection (b). tor shall establish a multiparty monitoring authorization of appropriations in subsection ‘‘(B) METHODS OF APPRAISAL.—The value of and evaluation process that accesses the (b) for a fiscal year, the Secretary may use timber or other forest products used as an stewardship contracting projects conducted such amount of the funds appropriated for offset under subparagraph (A)— under this section. that fiscal year to carry out the Soil Con- ‘‘(i) shall be determined using appropriate ‘‘(2) PARTICIPANTS.—Other than the Chief servation and Domestic Allotment Act (16 methods of appraisal commensurate with the and Director, participants in the process de- U.S.C. 590a et seq.) as the Secretary deter- quantity of products to be removed; and scribed in paragraph (1) may include— mines necessary to cover the cost of tech- ‘‘(ii) may— ‘‘(A) any cooperating governmental agen- nical assistance, management, and enforce- ‘‘(I) be determined using a unit of measure cies, including tribal governments; and ment responsibilities for land enrolled in the appropriate to the contracts; and ‘‘(B) any other interested groups or indi- healthy forests reserve program pursuant to ‘‘(II) may include valuing products on a viduals. subsections (a) and (b) of section 504.’’. per-acre basis. ‘‘(i) REPORTING.—Not later than 1 year Subtitle D—Miscellaneous Provisions ‘‘(5) RELATION TO OTHER LAWS.—Notwith- after the date of enactment of this section, standing subsections (d) and (g) of section 14 and annually thereafter, the Chief and the SEC. 8301. MCINTIRE-STENNIS COOPERATIVE FORESTRY ACT. of the National Forest Management Act of Director shall report to the Committee on (a) 1890 WAIVERS.—Section 4 of Public Law 1976 (16 U.S.C. 472a), the Chief may enter into Agriculture, Nutrition, and Forestry of the 87–788 (commonly known as the ‘‘McIntire- an agreement or contract under subsection Senate and the Committee on Agriculture of Stennis Cooperative Forestry Act’’) (16 (b). the House of Representatives on— U.S.C. 582a–3) is amended by inserting ‘‘The ‘‘(6) CONTRACTING OFFICER.—Notwith- ‘‘(1) the status of development, execution, matching funds requirement shall not be ap- standing any other provision of law, the Sec- and administration of agreements or con- plicable to eligible 1890 Institutions (as de- retary or the Secretary of the Interior may tracts under subsection (b); fined in section 2 of the Agricultural Re- determine the appropriate contracting offi- ‘‘(2) the specific accomplishments that search, Extension, and Education Reform cer to enter into and administer an agree- have resulted; and Act of 1998 (7 U.S.C. 7601)) if the allocation is ment or contract under subsection (b). ‘‘(3) the role of local communities in the below $200,000.’’ before ‘‘The Secretary is au- ‘‘(e) RECEIPTS.— development of agreements or contract thorized’’ in the second sentence. ‘‘(1) IN GENERAL.—The Chief and the Direc- plans.’’. (b) PARTICIPATION.—Section 8 of Public tor may collect monies from an agreement (b) CONFORMING AMENDMENT.—Section 347 or contract under subsection (b) if the collec- of the Department of the Interior and Re- Law 87–788 (commonly known as the tion is a secondary objective of negotiating lated Agencies Appropriations Act, 1999 (16 ‘‘ ‘McIntire-Stennis Cooperative Forestry the contract that will best achieve the pur- U.S.C. 2104 note; Public Law 105–277) is re- Act’’) (16 U.S.C. 582a–7) is amended by insert- poses of this section. pealed. ing ‘the Federated States of Micronesia, American Samoa, the Northern Mariana Is- ‘‘(2) USE.—Monies from an agreement or SEC. 8205. HEALTHY FORESTS RESERVE PRO- contract under subsection (b)— GRAM. lands, the District of Columbia,’ before ‘and ‘‘(A) may be retained by the Chief and the (a) DEFINITION OF ACREAGE OWNED BY IN- Guam’ ’’. Director; and DIAN TRIBES.—Section 502(e)(3) of the (c) EFFECTIVE DATE.—The amendments ‘‘(B) shall be available for expenditure Healthy Forests Restoration Act (16 U.S.C. made by this section take effect on October without further appropriation at the project 6572(e)(3)) is amended— 1, 2012. site from which the monies are collected or (1) in subparagraph (C), by striking ‘‘sub- SEC. 8302. REVISION OF STRATEGIC PLAN FOR at another project site. paragraphs (A) and (B)’’ and inserting FOREST INVENTORY AND ANALYSIS. ‘‘(3) RELATION TO OTHER LAWS.— ‘‘clauses (i) and (ii)’’; (a) REVISION REQUIRED.—Not later than 180 ‘‘(A) IN GENERAL.—Notwithstanding any (2) by redesignating subparagraphs (A) days after the date of enactment of this Act, other provision of law, the value of services through (C) as clauses (i) through (iii), re- the Secretary of Agriculture shall revise the received by the Chief or the Director under a spectively, and indenting appropriately; and strategic plan for forest inventory and anal- stewardship contract project conducted (3) by striking ‘‘In the case of’’ and insert- ysis initially prepared pursuant to section under this section, and any payments made ing the following: 3(e) of the Forest and Rangeland Renewable or resources provided by the contractor, ‘‘(A) DEFINITION OF ACREAGE OWNED BY IN- Resources Research Act of 1978 (16 U.S.C. Chief, or Director shall not be considered DIAN TRIBES.—In this paragraph, the term 1642(e)) to address the requirements imposed monies received from the National Forest ‘acreage owned by Indian tribes’ includes— by subsection (b). System or the public lands. ‘‘(i) land that is held in trust by the United (b) ELEMENTS OF REVISED STRATEGIC ‘‘(B) KNUTSON-VANDERBERG ACT.—The Act States for Indian tribes or individual Indi- PLAN.—In revising the strategic plan, the of June 9, 1930 (commonly known as the ans; Secretary of Agriculture shall describe in de- ‘Knutson-Vanderberg Act’) (16 U.S.C. 576 et ‘‘(ii) land, the title to which is held by In- tail the organization, procedures, and fund- seq.) shall not apply to any agreement or dian tribes or individual Indians subject to ing needed to achieve each of the following: contract under subsection (b). Federal restrictions against alienation or en- (1) Complete the transition to a fully ‘‘(f) COSTS OF REMOVAL.—Notwithstanding cumbrance; annualized forest inventory program and in- the fact that a contractor did not harvest ‘‘(iii) land that is subject to rights of use, clude inventory and analysis of interior the timber, the Chief may collect deposits occupancy, and benefit of certain Indian Alaska. from a contractor covering the costs of re- tribes; (2) Implement an annualized inventory of moval of timber or other forest products ‘‘(iv) land that is held in fee title by an In- trees in urban settings, including the status under— dian tribe; or and trends of trees and forests, and assess- ‘‘(1) the Act of August 11, 1916 (16 U.S.C. ‘‘(v) land that is owned by a native cor- ments of their ecosystem services, values, 490); and poration formed under section 17 of the Act health, and risk to pests and diseases. ‘‘(2) and the Act of June 30, 1914 (16 U.S.C. of June 18, 1934 (commonly known as the ‘In- (3) Report information on renewable bio- 498). dian Reorganization Act’) (25 U.S.C. 477) or mass supplies and carbon stocks at the local, ‘‘(g) PERFORMANCE AND PAYMENT GUARAN- section 8 of the Alaska Native Claims Settle- State, regional, and national level, including TEES.— ment Act (43 U.S.C. 1607); or by ownership type. ‘‘(1) IN GENERAL.—The Chief and the Direc- ‘‘(vi) a combination of 1 or more types of (4) Engage State foresters and other users tor may require performance and payment land described in clauses (i) through (v). of information from the forest inventory and bonds under sections 28.103–2 and 28.103–3 of ‘‘(B) ENROLLMENT OF ACREAGE.—In the case analysis in reevaluating the list of core data the Federal Acquisition Regulation, in an of’’. variables collected on forest inventory and amount that the contracting officer con- (b) CHANGE IN FUNDING SOURCE FOR analysis plots with an emphasis on dem- siders sufficient to protect the investment in HEALTHY FORESTS RESERVE PROGRAM.—Sec- onstrated need. receipts by the Federal Government gen- tion 508 of the Healthy Forests Restoration (5) Improve the timeliness of the timber erated by the contractor from the estimated Act of 2003 (16 U.S.C. 6578) is amended— product output program and accessibility of value of the forest products to be removed (1) in subsection (a), by striking ‘‘IN GEN- the annualized information on that database. under a contract under subsection (b). ERAL’’ and inserting ‘‘FISCAL YEARS 2009 (6) Foster greater cooperation among the ‘‘(2) EXCESS OFFSET VALUE.—If the offset THROUGH 2012’’; forest inventory and analysis program, re- value of the forest products exceeds the (2) by redesignating subsection (b) as sub- search station leaders, and State foresters value of the resource improvement treat- section (d); and and other users of information from the for- ments, the Chief and the Director may— (3) by inserting after subsection (a) the fol- est inventory and analysis. ‘‘(A) collect any residual receipts under the lowing: (7) Availability of and access to non-Fed- Act of June 9, 1930 (commonly known as the ‘‘(b) FISCAL YEARS 2013 THROUGH 2017.— eral resources to improve information anal- ‘Knutson-Vanderberg Act’) (16 U.S.C. 576 et There is authorized to be appropriated to the ysis and information management. seq.); and Secretary of Agriculture to carry out this (8) Collaborate with the Natural Resources ‘‘(B) apply the excess to other authorized section $9,750,000 for each of fiscal years 2013 Conservation Service, National Aeronautics stewardship projects. through 2017. and Space Administration, National Oceanic

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00157 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4088 CONGRESSIONAL RECORD — SENATE June 12, 2012 and Atmospheric Administration, and United (i) by striking ‘‘The Secretary’’ and insert- port describing the results of the study con- States Geological Survey to integrate re- ing the following: ducted under subparagraph (A).’’. mote sensing, spatial analysis techniques, ‘‘(A) IN GENERAL.—The Secretary’’; and (6) by inserting after subsection (g) (as re- and other new technologies in the forest in- (ii) by adding at the end the following: designated by paragraph (3)) the following: ventory and analysis program. ‘‘(B) AUDITING AND COMPLIANCE.—The Sec- ‘‘(h) FOREST PRODUCTS LABORATORY CO- (9) Understand and report on changes in retary may carry out such auditing and com- ORDINATION.—In determining whether prod- land cover and use. pliance activities as the Secretary deter- ucts are eligible for the ‘USDA Certified (10) Expand existing programs to promote mines to be necessary to ensure compliance Biobased Product’ label, the Secretary (act- sustainable forest stewardship through in- with subparagraph (A).’’; and ing through the Forest Products Laboratory) creased understanding, in partnership with (B) by adding at the end the following: shall— other Federal agencies, of the over 10 million ‘‘(4) ASSEMBLED AND FINISHED PRODUCTS.— ‘‘(1) review and approve forest-related family forest owners, their demographics, Not later than 1 year after the date of enact- products for which an application is sub- and the barriers to forest stewardship. ment of this paragraph, the Secretary shall mitted for the program; (11) Implement procedures to improve the begin issuing criteria for determining which ‘‘(2) expedite the approval of innovative statistical precision of estimates at the sub- assembled and finished products may qualify products resulting from technology devel- State level. to receive the label under paragraph (1).’’; oped by the Forest Products Laboratory or (c) SUBMISSION OF REVISED STRATEGIC (3) by redesignating subsections (d), (e), (f), partners of the Laboratory; and PLAN.—The Secretary of Agriculture shall (g), and (h) as subsections (e), (f), (g), (i), and ‘‘(3) provide appropriate technical assist- submit the revised strategic plan to the (j), respectively; ance to applicants, as determined by the Sec- Committee on Agriculture of the House of (4) by inserting after subsection (c) the fol- retary.’’; and Representatives and the Committee on Agri- lowing: (7) in subsection (j) (as redesignated by paragraph (3))— culture, Nutrition, and Forestry of the Sen- ‘‘(d) OUTREACH, EDUCATION, AND PRO- (A) in the heading of paragraph (1), by in- ate. MOTION.— serting ‘‘FOR FISCAL YEARS 2008 THROUGH TITLE IX—ENERGY ‘‘(1) IN GENERAL.—The Secretary may en- 2012’’ after ‘‘FUNDING’’; SEC. 9001. DEFINITION OF RENEWABLE CHEM- gage in outreach, educational, and pro- (B) in the heading of paragraph (2), by in- ICAL. motional activities intended to increase serting ‘‘FOR FISCAL YEARS 2009 THROUGH Section 9001 of the Farm Security and knowledge, awareness, and benefits of 2012’’ after ‘‘FUNDING’’; and Rural Investment Act of 2002 (7 U.S.C. 8101) biobased products. (C) by adding at the end the following: is amended— ‘‘(2) AUTHORIZED ACTIVITIES.—In carrying ‘‘(3) FISCAL YEARS 2013 THROUGH 2017.— (1) by redesignating paragraphs (13) and out this subsection, the Secretary may— There is authorized to be appropriated to (14) as paragraphs (14) and (15) respectively; ‘‘(A) conduct consumer education and out- carry out this section $2,000,000 for each of and reach (including consumer and awareness fiscal years 2013 through 2017. (2) by inserting after paragraph (12) the fol- surveys); ‘‘(4) MANDATORY FUNDING FOR FISCAL YEARS lowing: ‘‘(B) conduct outreach to and support for 2013 THROUGH 2017.—Of the funds of the Com- ‘‘(13) RENEWABLE CHEMICAL.—The term ‘re- State and local governments interested in modity Credit Corporation, the Secretary newable chemical’ means a monomer, poly- implementing biobased purchasing pro- shall use to carry out this section $3,000,000 mer, plastic, formulated product, or chem- grams; for each of fiscal years 2013 through 2017.’’. ical substance produced from renewable bio- ‘‘(C) partner with industry and nonprofit (b) CONFORMING AMENDMENT.—Section mass.’’. groups to produce educational and outreach 944(c)(2)(A) of the Energy Policy Act of 2005 SEC. 9002. BIOBASED MARKETS PROGRAM. materials and conduct educational and out- (42 U.S.C. 16253(c)(2)(A)) is amended by strik- (a) IN GENERAL.—Section 9002 of the Farm reach events; ing ‘‘section 9002(h)(1)’’ and inserting ‘‘sec- Security and Rural Investment Act of 2002 (7 ‘‘(D) sponsor special conferences and tion 9002(b)’’. U.S.C. 8102) is amended— events to bring together buyers and sellers of SEC. 9003. BIOREFINERY, RENEWABLE CHEM- (1) in subsection (a)— biobased products; and ICAL, AND BIOBASED PRODUCT (A) in paragraph (2)(A)(i)— ‘‘(E) support pilot and demonstration MANUFACTURING ASSISTANCE. (i) in subclause (I), by striking ‘‘and’’ at projects.’’; (a) PROGRAM ADJUSTMENTS.— the end; (5) in subsection (h) (as redesignated by (1) IN GENERAL.—Section 9003 of the Farm (ii) in subclause (II)(bb), by striking the pe- paragraph (3))— Security and Rural Investment Act of 2002 (7 riod at the end and inserting ‘‘; and’’; and (A) in paragraph (2)— U.S.C. 8103) is amended— (iii) by adding at the end the following: (i) in the matter preceding subparagraph (A) in the section heading, by inserting ‘‘, ‘‘(III) establish a targeted biobased-only (A) by striking ‘‘The report’’ and inserting RENEWABLE CHEMICAL, AND BIOBASED procurement requirement under which the ‘‘Each report under paragraph (1)’’; PRODUCT MANUFACTURING’’ after ‘‘BIO- procuring agency shall issue a certain num- (ii) in subparagraph (A), by striking ‘‘and’’ REFINERY’’; ber of biobased-only contracts when the pro- at the end; (B) in subsection (a), in the matter pre- curing agency is purchasing products, or pur- (iii) in subparagraph (B)(ii), by striking the ceding paragraph (1), by inserting ‘‘renew- chasing services that include the use of prod- period at the end and inserting a semicolon; able chemicals, and biobased product manu- ucts, that are included in a biobased product and facturing’’ after ‘‘advanced biofuels,’’; category designated by the Secretary.’’; and (iv) by adding at the end the following: (C) in subsection (b)— (B) in paragraph (3)— ‘‘(C) the progress made by other Federal (i) by redesignating paragraphs (1) and (2) (i) in subparagraph (B)— agencies in compliance with the biobased as paragraphs (2) and (3), respectively; and (I) in clause (v), by inserting ‘‘as deter- procurement requirements, including the (ii) by inserting before paragraph (2) (as so mined to be necessary by the Secretary quantity of purchases made; and redesignated) the following: based on the availability of data,’’ before ‘‘(D) the status of outreach, educational, ‘‘(1) BIOBASED PRODUCT MANUFACTURING.— ‘‘provide information’’; and promotional activities carried out by the The term ‘biobased product manufacturing’ (II) by redesignating clauses (v) and (vi) as Secretary under subsection (d), including the means development, construction, and retro- clauses (vii) and (viii), respectively; and attainment of specific milestones and overall fitting of technologically new commercial- (III) by inserting after clause (iv) the fol- results.’’; and scale processing and manufacturing equip- lowing: (B) by adding at the end the following: ment and required facilities that will be used ‘‘(v) require reporting of quantities and ‘‘(3) ECONOMIC IMPACT STUDY AND REPORT.— to convert renewable chemicals and other types of biobased products purchased by pro- ‘‘(A) IN GENERAL.—The Secretary shall con- biobased outputs of biorefineries into end- curing agencies; duct a study to assess the economic impact user products on a commercial scale.’’; and ‘‘(vi) focus on products that apply an inno- of the biobased products industry, includ- (D) in subsection (c)— vative approach to growing, harvesting, pro- ing— (i) in paragraph (1), by striking ‘‘and’’ at curing, processing, or manufacturing ‘‘(i) the quantity of biobased products sold; the end; biobased products regardless of the date of ‘‘(ii) the value of the biobased products; (ii) in paragraph (2), by striking the period entry of the products into the market- ‘‘(iii) the quantity of jobs created; at the end and inserting ‘‘; and’’; and place;’’; and ‘‘(iv) the quantity of petroleum displaced; (iii) by adding at the end the following: (ii) by adding at the end the following: ‘‘(v) other environmental benefits; and ‘‘(3) grants and loan guarantees to fund the ‘‘(F) REQUIRED DESIGNATIONS.—Not later ‘‘(vi) areas in which the use or manufac- development and construction of renewable than 1 year after the date of enactment of turing of biobased products could be more ef- chemical and biobased product manufac- this subparagraph, the Secretary shall begin fectively used, including identifying any turing facilities.’’. to designate intermediate ingredients or technical and economic obstacles and recom- (2) EFFECTIVE DATE.—The amendments feedstocks and assembled and finished mending how those obstacles can be over- made by paragraph (1) shall take effect on biobased products in the guidelines issued come. October 1, 2012. under this paragraph.’’; ‘‘(B) REPORT.—Not later than 180 days after (b) FUNDING.—Section 9003(h) of the Farm (2) in subsection (b)— the date of enactment of this subparagraph, Security and Rural Investment Act of 2002 (7 (A) in paragraph (3)— the Secretary shall submit to Congress a re- U.S.C. 8103(h)) is amended—

VerDate Mar 15 2010 05:14 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00158 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4089 (1) by striking paragraph (1) and inserting (A) in subsection (b)(2)— (2) in the heading of paragraph (2), by in- the following: (i) in subparagraph (C), by striking ‘‘and’’ serting ‘‘FOR FISCAL YEARS 2009 THROUGH ‘‘(1) MANDATORY FUNDING.— at the end; 2012’’ after ‘‘FUNDING’’; and ‘‘(A) IN GENERAL.—Subject to subparagraph (ii) by redesignating subparagraph (D) as (3) by adding at the end the following: (B), of the funds of the Commodity Credit subparagraph (E); and ‘‘(3) FISCAL YEARS 2013 THROUGH 2017.— Corporation, the Secretary shall use for the (iii) by inserting after subparagraph (C) the There is authorized to be appropriated to cost of loan guarantees under this section, to following: carry out this section $30,000,000 for each of remain available until expended— ‘‘(D) a council (as defined in section 1528 of fiscal years 2013 through 2017. ‘‘(i) $100,000,000 for fiscal year 2013; and the Agriculture and Food Act of 1981 (16 ‘‘(4) MANDATORY FUNDING FOR FISCAL YEARS ‘‘(ii) $58,000,000 for each of fiscal years 2014 U.S.C. 3451)); and’’; and 2013 THROUGH 2017.—Of the funds of the Com- and 2015. (B) in subsection (c)— modity Credit Corporation, the Secretary ‘‘(B) BIOBASED PRODUCT MANUFACTURING.— (i) in paragraph (1)(A), by inserting ‘‘, such shall use to carry out this section $26,000,000 Of the total amount of funds made available as for agricultural and associated residential for each of fiscal years 2013 through 2017.’’. for the period of fiscal years 2013 through purposes’’ after ‘‘electricity’’; SEC. 9009. FEEDSTOCK FLEXIBILITY PROGRAM 2015 under subparagraph (A), the Secretary (ii) by striking paragraph (3); FOR BIOENERGY PRODUCERS. use for the cost of loan guarantees under this (iii) by redesignating paragraph (4) as para- Section 9010(b) of the Farm Security and section not more than $25,000,000 to promote graph (3); Rural Investment Act of 2002 (7 U.S.C. biobased product manufacturing.’’; and (iv) in paragraph (3) (as so redesignated), 8110(b)) is amended— (2) in paragraph (2), by striking ‘‘2012’’ and by striking subparagraph (A) and inserting (1) in paragraph (1)(A), by striking ‘‘2012’’ inserting ‘‘2017’’. the following: and inserting ‘‘2017’’; and SEC. 9004. REPEAL OF REPOWERING ASSISTANCE ‘‘(A) GRANTS.—The amount of a grant (2) in paragraph (2)(A), by striking ‘‘2012’’ PROGRAM AND TRANSFER OF RE- under this subsection shall not exceed the and inserting ‘‘2017’’. MAINING FUNDS. lesser of— SEC. 9010. BIOMASS CROP ASSISTANCE PRO- (a) REPEAL.—Subject to subsection (b), sec- ‘‘(i) $500,000; and GRAM. tion 9004 of the Farm Security and Rural In- ‘‘(ii) 25 percent of the cost of the activity Section 9011 of the Farm Security and vestment Act of 2002 (7 U.S.C. 8104) is re- carried out using funds from the grant.’’; and Rural Investment Act of 2002 (7 U.S.C. 8111) pealed. (v) by adding at the end the following: is amended to read as follows: (b) USE OF REMAINING FUNDING FOR RURAL ‘‘(4) TIERED APPLICATION PROCESS.— ‘‘SEC. 9011. BIOMASS CROP ASSISTANCE PRO- ENERGY FOR AMERICA PROGRAM.—Funds ‘‘(A) IN GENERAL.—In providing loan guar- GRAM. made available pursuant to subsection (d) of antees and grants under this subsection, the ‘‘(a) DEFINITIONS.—In this section: section 9004 of the Farm Security and Rural Secretary shall use a 3-tiered application ‘‘(1) BCAP.—The term ‘BCAP’ means the Investment Act of 2002 (7 U.S.C. 8104) that process that reflects the size of proposed Biomass Crop Assistance Program estab- are unobligated on the day before the date of projects in accordance with this paragraph. lished under this section. enactment of this section shall— ‘‘(B) TIER 1.—The Secretary shall establish ‘‘(2) BCAP PROJECT AREA.—The term ‘BCAP (1) remain available until expended; a separate application process for projects project area’ means an area that— (2) be used by the Secretary of Agriculture for which the cost of the activity funded ‘‘(A) has specified boundaries that are sub- to carry out financial assistance for energy under this subsection is not more than mitted to the Secretary by the project spon- efficiency improvements and renewable en- $80,000. sor and subsequently approved by the Sec- ergy systems under section 9007(a)(2) of the ‘‘(C) TIER 2.—The Secretary shall establish retary; Farm Security and Rural Investment Act of a separate application process for projects ‘‘(B) includes producers with contract acre- 2002 (7 U.S.C. 8107(a)(2)); and for which the cost of the activity funded age that will supply a portion of the renew- (3) be in addition to any other funds made under this subsection is greater than $80,000 able biomass needed by a biomass conversion available to carry out that program. but less than $200,000. facility; and SEC. 9005. BIOENERGY PROGRAM FOR ADVANCED ‘‘(D) TIER 3.—The Secretary shall establish ‘‘(C) is physically located within an eco- BIOFUELS. a separate application process for projects nomically practicable distance from the bio- Section 9005(g) of the Farm Security and for which the cost of the activity funded mass conversion facility. Rural Investment Act of 2002 (7 U.S.C. under this subsection is equal to or greater ‘‘(3) CONTRACT ACREAGE.—The term ‘con- 8105(g)) is amended— than $200,000. tract acreage’ means eligible land that is (1) in the heading of paragraph (1), by in- ‘‘(E) APPLICATION PROCESS.—The Secretary covered by a BCAP contract entered into serting ‘‘FOR FISCAL YEARS 2009 THROUGH shall establish an application, evaluation, with the Secretary. 2012’’ after ‘‘FUNDING’’; and oversight process that is the most sim- ‘‘(4) ELIGIBLE CROP.— (2) in the heading of paragraph (2), by in- plified for tier I projects and more com- ‘‘(A) IN GENERAL.—The term ‘eligible crop’ serting ‘‘FOR FISCAL YEARS 2009 THROUGH prehensive for each subsequent tier.’’. means a crop of renewable biomass. 2012’’ after ‘‘FUNDING’’; (2) EFFECTIVE DATE.—The amendments ‘‘(B) EXCLUSIONS.—The term ‘eligible crop’ (3) by redesignating paragraph (3) as para- made by paragraph (1) shall take effect on does not include— graph (4); and October 1, 2012. ‘‘(i) any crop that is eligible to receive pay- (4) by inserting after paragraph (2) the fol- (b) FUNDING.—Section 9007(g) of the Farm ments under title I of the Food, Conserva- lowing: Security and Rural Investment Act of 2002 (7 tion, and Energy Act of 2008 (7 U.S.C. 8702 et ‘‘(3) FISCAL YEARS 2013 THROUGH 2017.— U.S.C. 8107(g)) is amended— seq.) or an amendment made by that title; There is authorized to be appropriated to (1) in the heading of paragraph (1), by in- ‘‘(ii) any plant that is invasive or noxious carry out this section $20,000,000 for each of serting ‘‘FOR FISCAL YEARS 2009 THROUGH or species or varieties of plants that credible fiscal years 2013 through 2017.’’. 2012’’ after ‘‘FUNDING’’; risk assessment tools or other credible SEC. 9006. BIODIESEL FUEL EDUCATION PRO- (2) in the heading of paragraph (2), by in- sources determine are potentially invasive, GRAM. serting ‘‘FOR FISCAL YEARS 2009 THROUGH as determined by the Secretary in consulta- Section 9006(d) of the Farm Security and 2012’’ after ‘‘FUNDING’’; tion with other appropriate Federal or State Rural Investment Act of 2002 (7 U.S.C. (3) in the heading of paragraph (3), by in- departments and agencies; or 8106(d)) is amended— serting ‘‘FOR FISCAL YEARS 2009 THROUGH ‘‘(iii) algae. (1) by striking ‘‘(d) FUNDING.—Of the 2012’’ after ‘‘FUNDING’’; and ‘‘(5) ELIGIBLE LAND.— funds’’ and inserting ‘‘(d) FUNDING.— (4) by adding at the end the following: ‘‘(A) IN GENERAL.—The term ‘eligible land’ ‘‘(1) FISCAL YEARS 2008 THROUGH 2012.—Of ‘‘(4) FISCAL YEARS 2013 THROUGH 2017.— includes— the funds’’; and There is authorized to be appropriated to ‘‘(i) agricultural and nonindustrial private (2) by adding at the end the following: carry out this section $20,000,000 for each of forest lands (as defined in section 5(c) of the ‘‘(2) FISCAL YEARS 2013 THROUGH 2017.— fiscal years 2013 through 2017. Cooperative Forestry Assistance Act of 1978 There is authorized to be appropriated to ‘‘(5) MANDATORY FUNDING FOR FISCAL YEARS (16 U.S.C. 2103a(c))); and carry out this section $1,000,000 for each of 2013 THROUGH 2017.—Of the funds of the Com- ‘‘(ii) land enrolled in the agricultural con- fiscal years 2013 through 2017. modity Credit Corporation, the Secretary servation easement program established ‘‘(3) MANDATORY FUNDING FOR FISCAL YEARS shall use to carry out this section $48,200,000 under subtitle H of title XII of the Food Se- 2013 THROUGH 2017.—Of the funds of the Com- for each of fiscal years 2013 through 2017.’’. curity Act of 1985. modity Credit Corporation, the Secretary ‘‘(B) EXCLUSIONS.—The term ‘eligible land’ shall use to carry out this section $1,000,000 SEC. 9008. BIOMASS RESEARCH AND DEVELOP- does not include— for each of fiscal years 2013 through 2017.’’. MENT. ‘‘(i) Federal- or State-owned land; SEC. 9007. RURAL ENERGY FOR AMERICA PRO- Section 9008(h) of the Farm Security and ‘‘(ii) land that is native sod, as of the date GRAM. Rural Investment Act of 2002 (7 U.S.C. of enactment of the Food, Conservation, and (a) PROGRAM ADJUSTMENTS.— 8108(h)) is amended— Energy Act of 2008 (7 U.S.C. 8701 et seq.); (1) IN GENERAL.—Section 9007 of the Farm (1) in the heading of paragraph (1), by in- ‘‘(iii) land enrolled in the conservation re- Security and Rural Investment Act of 2002 (7 serting ‘‘FOR FISCAL YEARS 2009 THROUGH serve program established under subchapter U.S.C. 8107) is amended— 2012’’ after ‘‘FUNDING’’; B of chapter 1 of subtitle D of title XII of the

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00159 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4090 CONGRESSIONAL RECORD — SENATE June 12, 2012 Food Security Act of 1985 (16 U.S.C. 3831 et would otherwise be used for existing market ‘‘(II) harvest and postharvest practices; seq.); products; or and ‘‘(iv) land enrolled in the Agricultural Con- ‘‘(vii) bagasse. ‘‘(III) monoculture and polyculture crop servation Easement Program established ‘‘(7) PRODUCER.—The term ‘producer’ mixes; under subtitle H of title XII of that Act; or means an owner or operator of contract acre- ‘‘(viii) the range of eligible crops among ‘‘(v) land enrolled in the conservation re- age that is physically located within a BCAP project areas; and serve program or the Agricultural Conserva- project area. ‘‘(ix) any additional information that the tion Easement Program under a contract ‘‘(8) PROJECT SPONSOR.—The term ‘project Secretary determines to be necessary. that will expire at the end of the current fis- sponsor’ means— ‘‘(3) CONTRACT.— cal year. ‘‘(A) a group of producers; or ‘‘(A) IN GENERAL.—On approval of a BCAP ‘‘(6) ELIGIBLE MATERIAL.— ‘‘(B) a biomass conversion facility. project area by the Secretary, each producer ‘‘(A) IN GENERAL.—The term ‘eligible mate- ‘‘(9) SOCIALLY DISADVANTAGED FARMER OR in the BCAP project area shall enter into a rial’ means renewable biomass harvested di- RANCHER.—The term ‘socially disadvantaged contract directly with the Secretary. rectly from the land, including crop residue farmer or rancher’ has the meaning given ‘‘(B) MINIMUM TERMS.—At a minimum, a from any crop that is eligible to receive pay- the term in section 2501(e) of the Food, Agri- contract under this subsection shall include ments under title I of the Agriculture Re- culture, Conservation, and Trade Act of 1990 terms that cover— form, Food, and Jobs Act of 2012 or an (7 U.S.C. 2279(e)). ‘‘(i) an agreement to make available to the amendment made by that title. ‘‘(b) ESTABLISHMENT AND PURPOSE.—The Secretary, or to an institution of higher edu- ‘‘(B) INCLUSIONS.—The term ‘eligible mate- Secretary shall establish and administer a cation or other entity designated by the Sec- rial’ shall only include— Biomass Crop Assistance Program to— retary, such information as the Secretary ‘‘(i) eligible material that is collected or ‘‘(1) support the establishment and produc- considers to be appropriate to promote the harvested by the eligible material owner— tion of eligible crops for conversion to bio- production of eligible crops and the develop- ‘‘(I) directly from— energy in selected BCAP project areas; and ment of biomass conversion technology; ‘‘(aa) National Forest System; ‘‘(2) assist agricultural and forest land ‘‘(ii) compliance with the highly erodible ‘‘(bb) Bureau of Land Management land; owners and operators with the collection, land conservation requirements of subtitle B ‘‘(cc) non-Federal land; or harvest, storage, and transportation of eligi- of title XII of the Food Security Act of 1985 ‘‘(dd) land owned by an individual Indian ble material for use in a biomass conversion (16 U.S.C. 3811 et seq.) and the wetland con- or Indian tribe that is held in trust by the facility. servation requirements of subtitle C of title United States for the benefit of the indi- ‘‘(c) BCAP PROJECT AREA.— XII of that Act (16 U.S.C. 3821 et seq.); vidual Indian or Indian tribe or subject to a ‘‘(1) IN GENERAL.—The Secretary shall pro- ‘‘(iii) the implementation of (as deter- restriction against alienation imposed by the vide financial assistance to a producer of an mined by the Secretary)— United States; eligible crop in a BCAP project area. ‘‘(I) a conservation plan; ‘‘(II) in a manner that is consistent with— ‘‘(2) SELECTION OF PROJECT AREAS.— ‘‘(II) a forest stewardship plan; or ‘‘(aa) a conservation plan; ‘‘(A) IN GENERAL.—To be considered for se- ‘‘(III) a plan that is equivalent to a con- ‘‘(bb) a forest stewardship plan; or lection as a BCAP project area, a project servation or forest stewardship plan; and ‘‘(cc) a plan that the Secretary determines sponsor shall submit to the Secretary a pro- ‘‘(iv) any additional requirements that is equivalent to a plan described in item (aa) posal that, at a minimum, includes— Secretary determines to be necessary. or (bb) and consistent with Executive Order ‘‘(i) a description of the eligible land and ‘‘(C) DURATION.—A contract under this sub- 13112 (42 U.S.C. 4321 note; relating to invasive eligible crops of each producer that will par- section shall have a term of not more than— species); ticipate in the proposed BCAP project area; ‘‘(i) 5 years for annual and perennial crops; ‘‘(ii) if woody eligible material, woody eli- ‘‘(ii) a letter of commitment from a bio- or gible material that is produced on land other mass conversion facility that the facility ‘‘(ii) 15 years for woody biomass. than contract acreage that— will use the eligible crops intended to be pro- ‘‘(4) RELATIONSHIP TO OTHER PROGRAMS.—In ‘‘(I) is a byproduct of a preventative treat- duced in the proposed BCAP project area; carrying out this subsection, the Secretary ment that is removed to reduce hazardous ‘‘(iii) evidence that the biomass conversion shall provide for the preservation of cropland fuel or to reduce or contain disease or insect facility has sufficient equity available, as de- base and yield history applicable to the land infestation; and termined by the Secretary, if the biomass enrolled in a BCAP contract. ‘‘(II) if harvested from Federal land, is har- conversion facility is not operational at the ‘‘(5) PAYMENTS.— vested in accordance with section 102(e) of time the proposal is submitted to the Sec- ‘‘(A) IN GENERAL.—The Secretary shall the Healthy Forests Restoration Act of 2003 retary; and make establishment and annual payments (16 U.S.C. 6512(e)); and ‘‘(iv) any other information about the bio- directly to producers to support the estab- ‘‘(iii) eligible material that is delivered to mass conversion facility or proposed biomass lishment and production of eligible crops on a qualified biomass conversion facility to be conversion facility that the Secretary deter- contract acreage. used for heat, power, biobased products, re- mines necessary for the Secretary to be rea- ‘‘(B) AMOUNT OF ESTABLISHMENT PAY- search, or advanced biofuels. sonably assured that the plant will be in op- MENTS.— ‘‘(C) EXCLUSIONS.—The term ‘eligible mate- eration by the date on which the eligible ‘‘(i) IN GENERAL.—Subject to clause (ii), the rial’ does not include— crops are ready for harvest. amount of an establishment payment under ‘‘(i) material that is whole grain from any ‘‘(B) BCAP PROJECT AREA SELECTION CRI- this subsection shall be not more than 50 crop that is eligible to receive payments TERIA.—In selecting BCAP project areas, the percent of the costs of establishing an eligi- under title I of the Agriculture Reform, Secretary shall consider— ble perennial crop covered by the contract Food, and Jobs Act of 2012 or an amendment ‘‘(i) the volume of the eligible crops pro- but not to exceed $500 per acre, including— made by that title, including— posed to be produced in the proposed BCAP ‘‘(I) the cost of seeds and stock for ‘‘(I) barley, corn, grain sorghum, oats, rice, project area and the probability that those perennials; or wheat; crops will be used for the purposes of the ‘‘(II) the cost of planting the perennial ‘‘(II) honey; BCAP; crop, as determined by the Secretary; and ‘‘(III) mohair; ‘‘(ii) the volume of renewable biomass pro- ‘‘(III) in the case of nonindustrial private ‘‘(IV) oilseeds, including canola, crambe, jected to be available from sources other forestland, the costs of site preparation and flaxseed, mustard seed, rapeseed, safflower than the eligible crops grown on contract tree planting. seed, soybeans, sesame seed, and sunflower acres; ‘‘(ii) SOCIALLY DISADVANTAGES FARMERS OR seed; ‘‘(iii) the anticipated economic impact in RANCHERS.—In the case of socially disadvan- ‘‘(V) peanuts; the proposed BCAP project area; taged farmers or ranchers, the costs of estab- ‘‘(VI) pulse; ‘‘(iv) the opportunity for producers and lishment may not exceed $750 per acre. ‘‘(VII) chickpeas, lentils, and dry peas; local investors to participate in the owner- ‘‘(C) AMOUNT OF ANNUAL PAYMENTS.— ‘‘(VIII) dairy products; ship of the biomass conversion facility in the ‘‘(i) IN GENERAL.—Subject to clause (ii), the ‘‘(IX) sugar; and proposed BCAP project area; amount of an annual payment under this ‘‘(X) wool and cotton boll fiber; ‘‘(v) the participation rate by— subsection shall be determined by the Sec- ‘‘(ii) animal waste and byproducts, includ- ‘‘(I) beginning farmers or ranchers (as de- retary. ing fat, oil, grease, and manure; fined in accordance with section 343(a) of the ‘‘(ii) REDUCTION.—The Secretary shall re- ‘‘(iii) food waste and yard waste; Consolidated Farm and Rural Development duce an annual payment by an amount de- ‘‘(iv) algae; Act (7 U.S.C. 1991(a))); or termined to be appropriate by the Secretary, ‘‘(v) woody eligible material that— ‘‘(II) socially disadvantaged farmers or if— ‘‘(I) is removed outside contract acreage; ranchers; ‘‘(I) an eligible crop is used for purposes and ‘‘(vi) the impact on soil, water, and related other than the production of energy at the ‘‘(II) is not a byproduct of a preventative resources; biomass conversion facility; treatment to reduce hazardous fuel or to re- ‘‘(vii) the variety in biomass production ‘‘(II) an eligible crop is delivered to the duce or contain disease or insect infestation; approaches within a project area, including biomass conversion facility; ‘‘(vi) any woody eligible material collected (as appropriate)— ‘‘(III) the producer receives a payment or harvested outside contract acreage that ‘‘(I) agronomic conditions; under subsection (d);

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‘‘(IV) the producer violates a term of the TITLE X—HORTICULTURE ‘‘(3) USE OF FUNDS.— contract; or SEC. 10001. SPECIALTY CROPS MARKET NEWS AL- ‘‘(A) IN GENERAL.—Of the funds made avail- ‘‘(V) the Secretary determines a reduction LOCATION. able to carry out the Program for each fiscal is necessary to carry out this section. Section 10107(b) of the Food, Conservation, year, 50 percent shall be used for the pur- ‘‘(D) EXCLUSION.—The Secretary shall not and Energy Act of 2008 (7 U.S.C. 1622b(b)) is poses described in subsection (b)(1)(A) and 50 make any BCAP payments on land for which amended by striking ‘‘2012’’ and inserting percent shall be used for the purposes de- payments are received under the conserva- ‘‘2017’’. scribed in subsection (b)(1)(B). tion reserve program established under sub- ‘‘(B) COST SHARE.—To be eligible to receive SEC. 10002. REPEAL OF GRANT PROGRAM TO IM- chapter B of chapter 1 of subtitle D of title PROVE MOVEMENT OF SPECIALTY a grant for a project described in subsection XII of the Food Security Act of 1985 (16 CROPS. (b)(1)(B), a recipient shall provide a match in U.S.C. 3831 et seq.) or the agricultural con- Section 10403 of the Food, Conservation, the form of cash or in-kind contributions in servation easement program established and Energy Act of 2008 (7 U.S.C. 1622c) is re- an amount equal to 25 percent of the total under subtitle H of title XII of that Act. pealed. cost of the project.’’; and ‘‘(d) ASSISTANCE WITH COLLECTION, HAR- (E) by adding at the end the following: SEC. 10003. FARMERS MARKET AND LOCAL FOOD VEST, STORAGE, AND TRANSPORTATION.— PROMOTION PROGRAM. ‘‘(5) ADMINISTRATIVE EXPENSES.—Not more ‘‘(1) IN GENERAL.—The Secretary shall than 10 percent of the total amount made Section 6 of the Farmer-to-Consumer Di- make a payment for the delivery of eligible available to carry out this section for a fis- rect Marketing Act of 1976 (7 U.S.C. 3005) is material to a biomass conversion facility cal year may be used for administrative ex- amended— to— penses. (1) in the section heading, by adding ‘‘AND ‘‘(A) a producer of an eligible crop that is ‘‘(6) LIMITATIONS.—An eligible entity may LOCAL FOOD’’ after ‘‘MARKET’’; produced on BCAP contract acreage; or not use a grant or other assistance provided (2) in subsection (a)— ‘‘(B) a person with the right to collect or under the Program for the purchase, con- (A) by inserting ‘‘and Local Food’’ after harvest eligible material, regardless of struction, or rehabilitation of a building or ‘‘Market’’; whether the eligible material is produced on structure.’’. contract acreage. (B) by striking ‘‘farmers’ markets and to promote’’; and SEC. 10004. STUDY ON LOCAL FOOD PRODUCTION ‘‘(2) PAYMENTS.— AND PROGRAM EVALUATION. (C) by inserting ‘‘and local food capacity ‘‘(A) COSTS COVERED.—A payment under (a) IN GENERAL.—The Secretary shall— this subsection shall be in an amount de- development’’ before the period at the end; (1) collect data on the production and mar- scribed in subparagraph (B) for— (3) in subsection (b), by striking paragraph keting of locally or regionally produced agri- ‘‘(i) collection; (1) and inserting the following: cultural food products; ‘‘(ii) harvest; ‘‘(1) IN GENERAL.—The purposes of the Pro- (2) facilitate interagency collaboration and ‘‘(iii) storage; and gram are to increase domestic consumption data sharing on programs related to local ‘‘(iv) transportation to a biomass conver- of and access to locally and regionally pro- and regional food systems; and sion facility. duced agricultural products by developing, (3) monitor the effectiveness of programs ‘‘(B) AMOUNT.—Subject to paragraph (3), improving, expanding, and providing out- designed to expand or facilitate local food the Secretary may provide matching pay- reach, training, and technical assistance to, systems. ments at a rate of up to $1 for each $1 per ton or assisting in the development, improve- (b) REQUIREMENTS.—In carrying out this provided by the biomass conversion facility, ment and expansion of— section, the Secretary shall, at a minimum— in an amount not to exceed $20 per dry ton ‘‘(A) domestic farmers’ markets, roadside (1) collect and distribute comprehensive re- for a period of 4 years. stands, community-supported agriculture porting of prices of locally or regionally pro- ‘‘(3) LIMITATION ON ASSISTANCE FOR BCAP programs, agritourism activities, and other duced agricultural food products; CONTRACT ACREAGE.—As a condition of the direct producer-to-consumer market oppor- (2) conduct surveys and analysis and pub- receipt of an annual payment under sub- tunities; and lish reports relating to the production, han- section (c), a producer receiving a payment ‘‘(B) local and regional food enterprises dling, distribution, retail sales, and trend under this subsection for collection, harvest, that are not direct producer-to-consumer studies (including consumer purchasing pat- storage, or transportation of an eligible crop markets but process, distribute, aggregate, terns) of or on locally or regionally produced produced on BCAP acreage shall agree to a store, and market locally or regionally pro- agricultural food products; reduction in the annual payment. duced food products.’’; (3) evaluate the effectiveness of existing ‘‘(e) REPORT.—Not later than 4 years after (4) in subsection (c)(1)— programs in growing local and regional food the date of enactment of the Agriculture Re- (A) by inserting ‘‘or other business entity’’ systems, including— form, Food, and Jobs Act of 2012, the Sec- after ‘‘cooperative’’; and (A) the impact of local food systems on job retary shall submit to the Committee on Ag- (B) by inserting ‘‘, including a community creation and economic development; riculture of the House of Representatives supported agriculture network or associa- (B) the level of participation in the Farm- and the Committee on Agriculture, Nutri- tion’’ after ‘‘association’’; ers’ Market and Local Food Promotion Pro- tion, and Forestry of the Senate a report on (5) by redesignating subsection (e) as sub- gram established under section 6 of the the dissemination by the Secretary of the section (f); Farmer-to-Consumer Direct Marketing Act best practice data and information gathered (6) by inserting after subsection (d) the fol- of 1976 (7 U.S.C. 3005), including the percent- from participants receiving assistance under lowing: age of projects funded in comparison to ap- this section. ‘‘(e) PRIORITIES.—In providing grants under ‘‘(f) FUNDING.— plicants and the types of eligible entities re- the Program, priority shall be given to appli- ceiving funds; ‘‘(1) IN GENERAL.—Of the funds of the Com- cations that include projects that— modity Credit Corporation, the Secretary (C) the ability for participants to leverage ‘‘(1) benefit underserved communities; private capital and a synopsis of the places shall use to carry out this section $38,600,000 ‘‘(2) develop market opportunities for for each of fiscal years 2013 through 2017. from which non-Federal funds are derived; small and mid-sized farm and ranch oper- ‘‘(2) COLLECTION, HARVEST, STORAGE, AND and ations; and TRANSPORTATION PAYMENTS.—Of the amount (D) any additional resources required to ‘‘(3) include a strategic plan to maximize made available under paragraph (1) for each aid in the development or expansion of local the use of funds to build capacity for local fiscal year, the Secretary shall use not less and regional food systems; and regional food systems in a community.’’; than 10 percent, nor more than 50 percent, of (4) expand the Agricultural Resource Man- (7) in subsection (f) (as redesignated by the amount to make collection, harvest, agement Survey to include questions on lo- paragraph (5))— transportation, and storage payments under cally or regionally produced agricultural (A) in paragraph (1)— subsection (d)(2).’’. food products; and (i) in subparagraph (B), by striking ‘‘and’’ SEC. 9011. REPEAL OF FOREST BIOMASS FOR EN- (5) seek to establish or expand private-pub- ERGY. after the semicolon at the end; lic partnerships to facilitate, to the max- Section 9012 of the Farm Security and (ii) in subparagraph (C), by striking the pe- imum extent practicable, the collection of Rural Investment Act of 2002 (7 U.S.C. 8112) riod at the end and inserting ‘‘; and’’; and data on locally or regionally produced agri- is repealed. (iii) by adding at the end the following: cultural food products, including the devel- SEC. 9012. COMMUNITY WOOD ENERGY PRO- ‘‘(D) $20,000,000 for each of fiscal years 2013 opment of a nationally coordinated and re- GRAM. through 2017.’’; gionally balanced evaluation of the redevel- Section 9013(e) of the Farm Security and (B) by striking paragraphs (2) and (4); opment of locally or regionally produced Rural Investment Act of 2002 (7 U.S.C. (C) by redesignating paragraph (3) as para- food systems. 8113(e)) is amended by inserting before the graph (4); (c) REPORT.—Not later than 1 year after period at the end ‘‘and $5,000,000 for each of (D) by inserting after paragraph (1) the fol- the date of enactment of this Act and annu- fiscal years 2013 through 2017’’. lowing: ally thereafter, the Secretary shall submit SEC. 9013. REPEAL OF RENEWABLE FERTILIZER ‘‘(2) AUTHORIZATION OF APPROPRIATIONS.—In to the Committee on Agriculture of the STUDY. addition to funds made available under para- House of Representatives and the Committee Section 9003 of the Food, Conservation, and graph (1), there is authorized to be appro- on Agriculture, Nutrition, and Forestry of Energy Act of 2008 (Public Law 110–246; 122 priated to carry out this section $20,000,000 the Senate a report describing the progress Stat. 2096) is repealed. for each of fiscal years 2013 through 2017. that has been made in implementing this

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00161 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4092 CONGRESSIONAL RECORD — SENATE June 12, 2012 section and identifying any additional needs SEC. 10006. FOOD SAFETY EDUCATION INITIA- (1) in subsection (a)— related to developing local and regional food TIVES. (A) by striking ‘‘subsection (j)’’ and insert- systems. Section 10105(c) of the Food, Conservation, ing ‘‘subsection (l)’’; and SEC. 10005. ORGANIC AGRICULTURE. and Energy Act of 2008 (7 U.S.C. 7655a(c)) is (B) by striking ‘‘2012’’ and inserting ‘‘2017’’; amended by striking ‘‘2012’’ and inserting (a) ORGANIC PRODUCTION AND MARKET DATA (2) by striking subsection (b) and inserting ‘‘2017’’. INITIATIVES.—Section 7407 of the Farm Secu- the following: rity and Rural Investment Act of 2002 (7 SEC. 10007. COORDINATED PLANT MANAGEMENT ‘‘(b) GRANTS BASED ON VALUE AND ACRE- U.S.C. 5925c) is amended— PROGRAM. AGE.—Subject to subsection (c), in the case (1) in subsection (c)— (a) IN GENERAL.—Section 420 of the Plant of each State with an application for a grant (A) in the matter preceding paragraph (1), Protection Act (7 U.S.C. 7721) is amended— for a fiscal year that is accepted by the Sec- by inserting ‘‘and annually thereafter’’ after (1) by striking the section heading and in- retary of Agriculture under subsection (f), ‘‘this subsection’’; serting ‘‘coordinated plant management program.’’; the amount of a grant for a fiscal year to a (B) in paragraph (1), by striking ‘‘and’’ at (2) by redesignating subsection (e) as sub- State under this section shall bear the same the end; section (f); and ratio to the total amount made available (C) by redesignating paragraph (2) as para- (3) by inserting after subsection (d) the fol- under subsection (l) for that fiscal year as— graph (3); and lowing: ‘‘(1) the average of the most recent avail- (D) by inserting after paragraph (1) the fol- ‘‘(e) NATIONAL CLEAN PLANT NETWORK.— able value of specialty crop production in the lowing: ‘‘(1) IN GENERAL.—The Secretary shall es- State and the acreage of specialty crop pro- ‘‘(2) describes how data collection agencies tablish a program to be known as the ‘Na- duction in the State, as demonstrated in the (such as the Agricultural Marketing Service tional Clean Plant Network’ (referred to in most recent Census of Agriculture data; and the National Agricultural Statistics this subsection as the ‘Program’). bears to Service) are coordinating with data user ‘‘(2) REQUIREMENTS.—Under the Program, ‘‘(2) the average of the most recent avail- agencies (such as the Risk Management the Secretary shall establish a network of able value of specialty crop production in all Agency) to ensure that data collected under clean plant centers for diagnostic and patho- States and the acreage of specialty crop pro- this section can be used by data user agen- gen elimination services— duction in all States, as demonstrated in the cies, including by the Risk Management ‘‘(A) to produce clean propagative plant most recent Census of Agriculture data.’’; Agency to offer price elections for all or- material; and (3) by redesignating subsection (j) as sub- ganic crops; and’’; and ‘‘(B) to maintain blocks of pathogen-tested section (l); (2) in subsection (d)— plant material in sites located throughout (4) by inserting after subsection (i) the fol- (A) by redesignating paragraph (2) as para- the United States. lowing: graph (3); ‘‘(3) AVAILABILITY OF CLEAN PLANT SOURCE ‘‘(j) MULTISTATE PROJECTS.— (B) by inserting after paragraph (1) the fol- MATERIAL.—Clean plant source material pro- ‘‘(1) IN GENERAL.—Not later than 180 days lowing: duced or maintained under the Program may after the date of enactment of the Agri- ‘‘(2) MANDATORY FUNDING.—In addition to be made available to— culture Reform, Food, and Jobs Act of 2012, any funds available under paragraph (1), of ‘‘(A) a State for a certified plant program the Secretary of Agriculture shall issue guid- the funds of the Commodity Credit Corpora- of the State; and ance for the purpose of making grants to tion, the Secretary shall use to carry out ‘‘(B) private nurseries and producers. multistate projects under this section for this section $5,000,000, to remain available ‘‘(4) CONSULTATION AND COLLABORATION.—In projects involving— until expended.’’; and carrying out the Program, the Secretary ‘‘(A) food safety; (C) in paragraph (3) (as redesignated by shall— ‘‘(B) plant pests and disease; subparagraph (A))— ‘‘(A) consult with— ‘‘(C) crop-specific projects addressing com- (i) by striking ‘‘paragraph (1)’’ and insert- ‘‘(i) State departments of agriculture; and mon issues; and ing ‘‘paragraphs (1) and (2)’’; and ‘‘(ii) land-grant colleges and universities ‘‘(D) any other area that furthers the pur- (ii) by striking ‘‘2012’’ and inserting ‘‘2017’’. and NLGCA Institutions (as those terms are poses of this section, as determined by the (b) MODERNIZATION AND TECHNOLOGY UP- defined in section 1404 of the National Agri- Secretary. GRADE FOR NATIONAL ORGANIC PROGRAM.— cultural Research, Extension, and Teaching ‘‘(2) FUNDING.—Of the funds provided under Section 2123 of the Organic Foods Production Policy Act of 1977 (7 U.S.C. 3103)); and subsection (l), the Secretary of Agriculture Act of 1990 (7 U.S.C. 6522) is amended— ‘‘(B) to the extent practicable and with may allocate for grants under this sub- (1) in subsection (b)— input from the appropriate State officials section, to remain available until expended— (A) in paragraph (5), by striking ‘‘and’’ at and industry representatives, use existing ‘‘(A) $1,000,000 for fiscal year 2013; the end; Federal or State facilities to serve as clean ‘‘(B) $2,000,000 for fiscal year 2014; (B) by redesignating paragraph (6) as para- plant centers.’’. ‘‘(C) $3,000,000 for fiscal year 2015; graph (7); and (b) FUNDING.—Subsection (f) of section 420 ‘‘(D) $4,000,000 for fiscal year 2016; and (C) by inserting after paragraph (5) the fol- of the Plant Protection Act (7 U.S.C. 7721) ‘‘(E) $5,000,000 for fiscal year 2017. lowing: (as redesignated by subsection (a)(1)) is ‘‘(k) ADMINISTRATION.— ‘‘(6) $15,000,000 for each of fiscal years 2013 amended— ‘‘(1) DEPARTMENT.—The Secretary of Agri- through 2017; and’’; and (1) in paragraph (3), by striking ‘‘and’’ at culture may not use more than 3 percent of (2) by adding at the end the following: the end; the funds made available to carry out this ‘‘(c) MODERNIZATION AND TECHNOLOGY UP- (2) in paragraph (4), by striking ‘‘and each section for a fiscal year for administrative GRADE FOR NATIONAL ORGANIC PROGRAM.— fiscal year thereafter.’’ and inserting a semi- expenses. ‘‘(1) IN GENERAL.—The Secretary shall mod- colon; and ‘‘(2) STATES.—A State receiving a grant ernize database and technology systems of (3) by adding at the end the following: under this section may not use more than 8 the national organic program. ‘‘(5) $60,000,000 for each of fiscal years 2013 percent of the funds received under the grant ‘‘(2) FUNDING.—Of the funds of the Com- through 2016; and for a fiscal year for administrative ex- modity Credit Corporation and in addition to ‘‘(6) $65,000,000 for fiscal year 2017 and each penses.’’; and any other funds made available for that pur- fiscal year thereafter.’’. (5) in subsection (l) (as redesignated by pose, the Secretary shall make available to (c) REPEAL OF EXISTING PROVISION.—Sec- paragraph (3))— carry out this subsection $5,000,000 in fiscal tion 10202 of the Food, Conservation, and En- (A) in paragraph (2), by striking ‘‘and’’ at year 2013, to remain available until ex- ergy Act of 2008 (7 U.S.C. 7761) is repealed. the end; pended. (d) CLARIFICATION OF USE OF FUNDS FOR (B) in paragraph (3), by striking the period ‘‘(d) REPORT.—Not later than 180 days after TECHNICAL ASSISTANCE.—Section 420 of the at the end and inserting ‘‘; and’’; and the date of enactment of this subsection, the Plant Protection Act (7 U.S.C. 7721) (as (C) by adding at the end the following: Secretary shall submit to the Committee on amended by subsection (a)) is amended by ‘‘(4) $70,000,000 for fiscal year 2013 and each Agriculture of the House of Representatives adding at the end the following: fiscal year thereafter.’’. and the Committee on Agriculture, Nutri- ‘‘(g) RELATIONSHIP TO OTHER LAW.—The use SEC. 10009. RECORDKEEPING, INVESTIGATIONS, tion, and Forestry of the Senate a report of Commodity Credit Corporation funds AND ENFORCEMENT. that— under this section to provide technical as- The Organic Foods Production Act of 1990 ‘‘(1) describes the efforts of the Secretary sistance shall not be considered an allotment is amended by inserting after section 2120 (7 to ensure that activities conducted through or fund transfer from the Commodity Credit U.S.C. 6519) the following: commodity research and promotion pro- Corporation for purposes of the limit on ex- ‘‘SEC. 2120A. RECORDKEEPING, INVESTIGATIONS, grams adequately reflect the priorities of all penditures for technical assistance imposed AND ENFORCEMENT. members of the applicable orders; and by section 11 of the Commodity Credit Cor- ‘‘(a) RECORDKEEPING.— ‘‘(2) includes an assessment of the feasi- poration Charter Act (15 U.S.C. 714i).’’. ‘‘(1) IN GENERAL.—Except as otherwise pro- bility of establishing an organic research and SEC. 10008. SPECIALTY CROP BLOCK GRANTS. vided in this title, all persons, including pro- promotion program, including any current Section 101 of the Specialty Crops Com- ducers, handlers, and certifying agents, re- barriers to establishment and challenges re- petitiveness Act of 2004 (7 U.S.C. 1621 note; quired to report information to the Sec- lated to implementation.’’. Public Law 108–465) is amended— retary under this title shall maintain, and

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make available to the Secretary on the re- ‘‘(iii) as being produced and handled by a ‘‘(3) CIVIL PENALTY.—If the court finds that quest of the Secretary, all contracts, agree- certified organic operation; and the person violated the order or revocation, ments, receipts, and other records associated ‘‘(B) if a person has committed an unlawful the person shall be subject to a civil penalty with the organic certification program es- act with respect to the product under sub- of not more than $10,000 for each offense.’’. tablished by the Secretary under this title. section (d). SEC. 10010. REPORT ON HONEY. ‘‘(2) DURATION OF RECORDKEEPING REQUIRE- ‘‘(2) CERTIFICATION OR ACCREDITATION.— (a) IN GENERAL.—Not later than 180 days MENT.—A record covered by paragraph (1) ‘‘(A) SUSPENSION.— after the date of enactment of this Act, the shall be maintained— ‘‘(i) IN GENERAL.—The Secretary may sus- Secretary, in consultation with affected ‘‘(A) by a person covered by this title, ex- pend the organic certification of a producer stakeholders, shall submit to the Commis- cept for a certifying agent, for a period of 5 or handler, or accreditation of a certifying sioner of Food and Drugs a report describing years beginning on the date of the creation agent, for a period not to exceed 30 days, and how an appropriate Federal standard for the of the record; and may renew the suspension for an additional identity of honey would promote honesty ‘‘(B) by a certifying agent, for a period of period, under the circumstances described in and fair dealing and would be in the interest 10 years beginning on the date of the cre- clause (ii). of consumers, the honey industry, and ation of the record. ‘‘(ii) ACTIONS TRIGGERING SUSPENSION.—The United States agriculture. (b) CONTENTS.—In preparing the report ‘‘(b) CONFIDENTIALITY.— Secretary may take the suspension or re- under subsection (a), the Secretary shall ‘‘(1) IN GENERAL.—Subject to paragraph (2), newal actions described in clause (i), if the and except as otherwise directed by the Sec- Secretary has reason to believe that a person take into consideration the March 2006 Standard of Identity citizens petition filed retary or the Attorney General for enforce- producing or handling an agricultural prod- with the Food and Drug Administration, in- ment purposes, no officer, employee, or uct, or a certifying agent, has violated or is cluding any current industry amendments or agent of the United States shall make avail- violating any provision of this title, includ- clarifications necessary to update that 2006 able to the public information, statistics, or ing an order or regulation promulgated petition. documents obtained from or made available under this title. SEC. 10011. EFFECTIVE DATE. by any person under this title, other than in ‘‘(iii) CONTINUATION OF SUSPENSION This title and the amendments made by a manner that ensures that confidentiality is THROUGH APPEAL.—If the Secretary deter- this title take effect on October 1, 2012. preserved regarding the identity of persons, mines subsequent to an investigation that a including parties to a contract, and propri- violation of this title by a person covered by TITLE XI—CROP INSURANCE etary business information. this title has occurred, the suspension shall SEC. 11001. SUPPLEMENTAL COVERAGE OPTION. remain in effect until the Secretary issues a ‘‘(2) ALLEGED VIOLATORS AND NATURE OF AC- (a) AVAILABILITY OF SUPPLEMENTAL COV- revocation of the certification of the person TIONS.—The Secretary may release the name ERAGE OPTION.—Section 508(c) of the Federal of the alleged violator and the nature of the or of the accreditation of the certifying Crop Insurance Act (7 U.S.C. 1508(c)) is agent, covered by this title, after an expe- actions triggering an order, suspension, or amended by striking paragraph (3) and in- dited administrative appeal under section revocation under subsection (e). serting the following: 2121 has been completed. ‘‘(3) YIELD AND LOSS BASIS OPTIONS.—A pro- ‘‘(c) INVESTIGATION.— ‘‘(B) REVOCATION.—After notice and oppor- ducer shall have the option of purchasing ad- ‘‘(1) IN GENERAL.—The Secretary may take tunity for an administrative appeal under ditional coverage based on— such investigative actions as the Secretary section 2121, if a violation described in sub- considers to be necessary to carry out this ‘‘(A)(i) an individual yield and loss basis; paragraph (A)(ii) is determined to have oc- or title— curred and is an unlawful act under sub- ‘‘(A) to verify the accuracy of any informa- ‘‘(ii) an area yield and loss basis; section (d), the Secretary shall revoke the ‘‘(B) an individual yield and loss basis, sup- tion reported or made available under this organic certification of the producer or han- plemented with coverage based on an area title; and dler, or the accreditation of the certifying yield and loss basis to cover all or a part of ‘‘(B) to determine, with regard to actions, agent. the deductible under the individual yield and practices, or information required under this ‘‘(3) VIOLATION OF ORDER OR REVOCATION.— loss policy, as authorized in paragraph (4)(C); title, whether a person covered by this title A person who violates an order to stop the or has committed, or will commit, a violation sale of a product as an organically produced ‘‘(C) a margin basis alone or in combina- of any provision of this title, including an product under paragraph (1), or a revocation tion with— order or regulation promulgated by the Sec- of certification or accreditation under para- ‘‘(i) individual yield and loss coverage; or retary. graph (2)(B), shall be subject to 1 or more of ‘‘(ii) area yield and loss coverage.’’. ‘‘(2) INVESTIGATIVE POWERS.—The Secretary the penalties provided in subsections (a) and (b) LEVEL OF COVERAGE.—Section 508(c) of may administer oaths and affirmations, sub- (b) of section 2120. the Federal Crop Insurance Act (7 U.S.C. poena witnesses, compel attendance of wit- ‘‘(f) APPEAL.— 1508(c)) is amended by striking paragraph (4) nesses, take evidence, and require the pro- ‘‘(1) IN GENERAL.—An order under sub- and inserting the following: duction of any books, papers, and documents section (e)(1), or a revocation of certification ‘‘(4) LEVEL OF COVERAGE.— that are relevant to the investigation. or accreditation under subsection (e)(2)(B) ‘‘(A) DOLLAR DENOMINATION AND PERCENT- ‘‘(d) UNLAWFUL ACT.—It shall be unlawful shall be final and conclusive unless the af- AGE OF YIELD.—Except as provided in sub- and a violation of this title for any person fected person files an appeal of the order— paragraph (C), the level of coverage— covered by this title— ‘‘(A) first, to the administrative appeals ‘‘(i) shall be dollar denominated; and ‘‘(1) to fail or refuse to provide, or delay process established under section 2121(a); and ‘‘(ii) may be purchased at any level not to the timely provision of, accurate informa- ‘‘(B) second, if the affected person so exceed 85 percent of the individual yield or 95 tion required by the Secretary under this elects, to a United States district court as percent of the area yield (as determined by section; provided in section 2121(b) not later than 30 the Corporation). ‘‘(2) to violate— days after the date of the determination ‘‘(B) INFORMATION.—The Corporation shall ‘‘(A) an order of the Secretary; under subparagraph (A). provide producers with information on cata- ‘‘(B) a suspension or revocation of the or- ‘‘(2) STANDARD.—An order under subsection strophic risk and additional coverage in ganic certification of a producer or handler; (e)(1), or a revocation of certification or ac- terms of dollar coverage (within the allow- or creditation under subsection (e)(2)(B), shall able limits of coverage provided in this para- ‘‘(C) a suspension or revocation of the ac- be set aside only if the order, or the revoca- graph). creditation of a certifying agent; or tion of certification or accreditation, is not ‘‘(C) SUPPLEMENTAL COVERAGE OPTION.— ‘‘(3) to sell, or attempt to sell, a product supported by substantial evidence. ‘‘(i) IN GENERAL.—Notwithstanding sub- that is represented as being organically pro- ‘‘(g) NONCOMPLIANCE.— paragraph (A), in the case of the supple- duced under this title if in fact the product ‘‘(1) IN GENERAL.—If a person covered by mental coverage option described in para- has been produced or handled by an oper- this title fails to obey an order, or a revoca- graph (3)(B), the Corporation shall offer pro- ation that is not yet a certified organic pro- tion of certification or accreditation, de- ducers the opportunity to purchase coverage ducer or handler under this title. scribed in subsection (f)(2) after the order or in combination with a policy or plan of in- ‘‘(e) ENFORCEMENT.— revocation has become final and conclusive surance offered under this subtitle that ‘‘(1) ORDER.—The Secretary may issue an or after the appropriate United States dis- would allow indemnities to be paid to a pro- order to stop the sale of an agricultural trict court has entered a final judgment in ducer equal to all or part of the deductible product that is labeled or otherwise rep- favor of the Secretary, the United States under the policy or plan of insurance, if suf- resented as being organically produced— may apply to the appropriate United States ficient area data is available (as determined ‘‘(A) until the product can be verified— district court for enforcement of the order, by the Corporation). ‘‘(i) as meeting the national and State or the revocation of certification or accredi- ‘‘(ii) TRIGGER.—Coverage offered under this standards for organic production and han- tation. subparagraph shall be triggered only if the dling as provided in sections 2105 through ‘‘(2) ENFORCEMENT.—If the court deter- losses in the area exceed 10 percent of nor- 2114; mines that the order or revocation was law- mal levels (as determined by the Corpora- ‘‘(ii) as having been produced or handled fully made and duly served and that the per- tion). without the use of a prohibited substance son violated the order or revocation, the ‘‘(iii) COVERAGE.—Subject to the trigger listed under section 2118; and court shall enforce the order or revocation. described in clause (ii) and the deductible

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ENTERPRISE UNITS FOR IRRIGATED ‘‘(iii) the terms and conditions for the pro- under this subparagraph shall cover the first AND NONIRRIGATED CROPS. posed policy or plan of insurance are appro- loss incurred by the producer, not to exceed Section 508(e)(5) of the Federal Crop Insur- priate and would not unfairly discriminate the difference between— ance Act (7 U.S.C. 1508(e)(5)) is amended by among producers; ‘‘(I) 100 percent; and adding at the end the following: ‘‘(iv) the proposed policy or plan of insur- ‘‘(II) the coverage level selected by the pro- ‘‘(D) NONIRRIGATED CROPS.—Beginning with ance will, at the sole discretion of the ducer for the underlying policy or plan of in- the 2013 crop year, the Corporation shall Board— surance. make available separate enterprise units for ‘‘(I) likely result in a viable and market- ‘‘(iv) DEDUCTIBLE.—Coverage offered under irrigated and nonirrigated acreages of crops able policy that can reasonably attain levels this subparagraph shall be subject to a de- in counties.’’. of participation similar to other like policies ductible in an amount equal to— SEC. 11005. DATA COLLECTION. or plans of insurance; ‘‘(I) in the case of a producer who partici- Section 508(g)(2) of the Federal Crop Insur- ‘‘(II) provide crop insurance coverage in a pates in the agriculture risk coverage pro- ance Act (7 U.S.C. 1508(g)(2)) is amended by significantly improved form or in a manner gram under section 1105(c) of the Agriculture adding at the end the following: that addresses a recognized flaw or problem Reform, Food, and Jobs Act of 2012, 21 per- ‘‘(E) SOURCES OF YIELD DATA.—To deter- in an existing policy; or cent of the expected value of the crop of the mine yields under this paragraph, the Cor- ‘‘(III) provide a new kind of coverage for a producer covered by the underlying policy or poration— commodity that previously had no available plan of insurance, as determined by the Cor- ‘‘(i) shall use county data collected by the crop insurance, or has demonstrated a low poration; and Risk Management Agency or the National level of participation under existing cov- ‘‘(II) in the case of all other producers, 10 Agricultural Statistics Service, or both; or erage; percent of the expected value of the crop of ‘‘(ii) if sufficient county data is not avail- ‘‘(v) the proposed policy or plan of insur- the producer covered by the underlying pol- able, may use other data considered appro- ance will, at the sole discretion of the Board, icy or plan of insurance, as determined by priate by the Secretary.’’. not have a significant adverse impact on the the Corporation. SEC. 11006. ADJUSTMENT IN ACTUAL PRODUC- crop insurance delivery system; and ‘‘(v) CALCULATION OF PREMIUM.—Notwith- TION HISTORY TO ESTABLISH IN- ‘‘(vi) the proposed policy or plan of insur- standing subsection (d), the premium shall— SURABLE YIELDS. ance meets such other requirements as are ‘‘(I) be sufficient to cover anticipated Section 508(g)(4)(B) of the Federal Crop In- determined appropriate by the Board. losses and a reasonable reserve; and surance Act (7 U.S.C. 1508(g)(4)(B)) is amend- ‘‘(B) PRIORITIES.— ‘‘(II) include an amount for operating and ed— ‘‘(i) ESTABLISHMENT.—The Board, at the administrative expenses established in ac- (1) in the matter preceding clause (i), by sole discretion of the Board, may— cordance with subsection (k)(4)(F).’’. inserting ‘‘for the 2012 crop year or any prior ‘‘(I) annually establish priorities under crop year, or 70 percent of the applicable this subsection that specify types of submis- (c) PAYMENT OF PORTION OF PREMIUM BY transitional yield for the 2013 or any subse- sions needed to fulfill the portfolio of poli- CORPORATION.—Section 508(e)(2) of the Fed- quent crop year,’’ after ‘‘transitional yield’’; eral Crop Insurance Act (7 U.S.C. 1508(e)(2)) cies or plans of insurance to be reviewed and and is amended by adding at the end the fol- approved under this subsection; and (2) in clause (ii), by striking ‘‘60 percent of ‘‘(II) make the priorities available on the lowing: the applicable transitional yield’’ and insert- website of the Corporation. ‘‘(H) In the case of the supplemental cov- ing ‘‘the applicable percentage of the transi- ‘‘(ii) PROCESS.— erage option authorized in subsection tional yield described in this subparagraph’’. ‘‘(I) IN GENERAL.—Policies or plans of in- (c)(4)(C), the amount shall be equal to the surance that satisfy the priorities estab- sum of— SEC. 11007. SUBMISSION AND REVIEW OF POLI- CIES. lished by the Board under this subsection ‘‘(i) 70 percent of the additional premium shall be considered by the Board for approval associated with the coverage; and Section 508(h)(1) of the Federal Crop Insur- prior to other submissions. ‘‘(ii) the amount determined under sub- ance Act (7 U.S.C. 1508(h)(1)) is amended— ‘‘(II) CONSIDERATIONS.—In approving poli- section (c)(4)(C)(v)(II) for the coverage to (1) by redesignating subparagraphs (A) and cies or plans of insurance, the Board shall— cover operating and administrative ex- (B) as clauses (i) and (ii), respectively, and ‘‘(aa) consider providing the highest prior- penses.’’. indenting appropriately; (2) by striking ‘‘(1) IN GENERAL.—’’ and in- ities for policies or plans of insurance that (d) CONFORMING AMENDMENT.—Section serting the following: address underserved commodities, including 508(k)(4)(F) of the Federal Crop Insurance ‘‘(1) SUBMISSION AND REVIEW OF POLICIES.— commodities for which there is no insurance; Act (7 U.S.C. 1508(k)(4)(F)) is amended by in- ‘‘(A) SUBMISSIONS.—In addition’’; and and serting ‘‘or authorized under subsection (3) by adding at the end the following: ‘‘(bb) consider providing the highest prior- (c)(4)(C)’’ after ‘‘of this subparagraph’’. ‘‘(B) REVIEW.—The Corporation shall re- ities for existing policies for which there is (e) EFFECTIVE DATE.—The Federal Crop In- view any policy developed under section inadequate coverage or there exists low lev- surance Corporation shall begin to provide 522(c) or any pilot program developed under els of participation. additional coverage based on an individual section 523 and submit the policy or program ‘‘(iii) OTHER CRITERIA.—The Board may es- yield and loss basis, supplemented with cov- to the Board under this subsection if the tablish such other criteria as the Board de- erage based on an area yield and loss basis, Corporation, at the sole discretion of the termines to meet the needs of producers and not later than for the 2013 crop year. Corporation, finds that the policy or pro- the priorities of this subsection, consistent gram— with the purposes of this subtitle.’’. SEC. 11002. PREMIUM AMOUNTS FOR CATA- ‘‘(i) will likely result in a viable and mar- SEC. 11009. CONSULTATION. STROPHIC RISK PROTECTION. ketable policy consistent with this sub- Section 508(h)(4) of the Federal Crop Insur- Section 508(d)(2) of the Federal Crop Insur- section; ance Act (7 U.S.C. 1508(h)) is amended by ance Act (7 U.S.C. 1508(d)(2)) is amended by ‘‘(ii) would provide crop insurance cov- adding at the end the following: striking subparagraph (A) and inserting the erage in a significantly improved form; and ‘‘(E) CONSULTATION.— following: ‘‘(iii) adequately protects the interests of ‘‘(i) REQUIREMENT.—As part of the feasi- ‘‘(A) In the case of catastrophic risk pro- producers.’’. bility and research associated with the de- tection, the amount of the premium estab- SEC. 11008. BOARD REVIEW AND APPROVAL. velopment of a policy or other material con- lished by the Corporation for each crop for (a) REVIEW AND APPROVAL BY THE BOARD.— ducted prior to making a submission to the which catastrophic risk protection is avail- Section 508(h) of the Federal Crop Insurance Board under this subsection, the submitter able shall be reduced by the percentage equal Act (7 U.S.C. 1508(h)) is amended by striking shall consult with groups representing pro- to the difference between the average loss paragraph (3) and inserting the following: ducers of agricultural commodities in all ratio for the crop and 100 percent, plus a rea- ‘‘(3) REVIEW AND APPROVAL BY THE BOARD.— major producing areas for the commodities sonable reserve, as determined by the Cor- ‘‘(A) IN GENERAL.—A policy, plan of insur- to be served or potentially impacted, either poration.’’. ance, or other material submitted to the directly or indirectly. Board under this subsection shall be re- ‘‘(ii) SUBMISSION TO THE BOARD.—Any sub- SEC. 11003. PERMANENT ENTERPRISE UNIT. viewed by the Board and shall be approved mission made to the Board under this sub- Section 508(e)(5) of the Federal Crop Insur- by the Board for reinsurance and for sale by section shall contain a summary and anal- ance Act (7 U.S.C. 1508(e)(5)) is amended by approved insurance providers to producers at ysis of the feasibility and research findings striking subparagraph (A) and inserting the actuarially appropriate rates and under ap- from the impacted groups described in clause following: propriate terms and conditions if the Board, (i), including a summary assessment of the ‘‘(A) IN GENERAL.—The Corporation may at the sole discretion of the Board, deter- support for or against development of the pay a portion of the premiums for plans or mines that— policy and an assessment on the impact of policies of insurance for which the insurable ‘‘(i) the interests of producers are ade- the proposed policy to the general marketing unit is defined on a whole farm or enterprise quately protected; and production of the crop from both a re- unit basis that is higher than would other- ‘‘(ii) the rates of premium and price elec- gional and national perspective. wise be paid in accordance with paragraph tion methodology are actuarially appro- ‘‘(iii) EVALUATION BY THE BOARD.—In evalu- (2).’’. priate; ating whether the interests of producers are

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00164 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4095 adequately protected pursuant to paragraph ‘‘(4) Establish coverage based on— surance offered under subsections (a) and (b) (3) with respect to an submission made under ‘‘(A) an expected price that is the expected of section 508, the effective price for peanuts this subsection, the Board shall review the price established under existing Group Risk shall be equal to the Rotterdam price index information provided pursuant to clause (ii) Income Protection or area wide policy of- for peanuts, as adjusted to reflect the farmer to determine if the submission will create fered by the Corporation for the applicable stock price of peanuts in the United States. adverse market distortions with respect to county (or area) and crop year; and ‘‘(2) ADJUSTMENTS.— the production of commodities that are the ‘‘(B) an expected county yield that is the ‘‘(A) IN GENERAL.—The effective price for subject of the submission.’’. higher of— peanuts established under paragraph (1) may SEC. 11010. BUDGET LIMITATIONS ON RENEGOTI- ‘‘(i) the expected county yield established be adjusted by the Risk Management Agency ATION OF THE STANDARD REINSUR- for the existing area-wide plans offered by and the Corporation to correct distortions. ANCE AGREEMENT. the Corporation for the applicable county (or ‘‘(B) ADMINISTRATION.—If an adjustment is Section 508(k)(8) of the Federal Crop Insur- area) and crop year (or, in geographic areas made under subparagraph (A), the Risk Man- ance Act (7 U.S.C. 1508(k)(8)) is amended by where area-wide plans are not offered, an ex- agement Agency and the Corporation shall— adding at the end the following: pected yield determined in a manner con- ‘‘(i) make the adjustment in an open and ‘‘(F) BUDGET.— sistent with those of area-wide plans); or transparent manner; and ‘‘(i) IN GENERAL.—The Board shall ensure ‘‘(ii)(I) the average of the applicable yield ‘‘(ii) submit to the Committee on Agri- that any Standard Reinsurance Agreement data for the county (or area) for the most re- culture of the House of Representatives and negotiated under subparagraph (A)(ii), as cent 5 years, excluding the highest and low- the Committee on Agriculture, Nutrition, compared to the previous Standard Reinsur- est observations, from the Risk Management and Forestry of the Senate a report that de- ance Agreement— Agency or the National Agricultural Statis- scribes the reasons for the adjustment.’’. ‘‘(I) to the maximum extent practicable, tics, or both; or SEC. 11013. AUTHORITY TO CORRECT ERRORS. shall be budget neutral; and ‘‘(II) if sufficient county data is not avail- Section 515(c) of the Federal Crop Insur- ‘‘(II) in no event, may significantly depart able, such other data considered appropriate ance Act (7 U.S.C. 1515(c)) is amended— from budget neutrality. by the Secretary. (1) in the first sentence, by striking ‘‘The ‘‘(ii) USE OF SAVINGS.—To the extent that ‘‘(5) Use a multiplier factor to establish Secretary’’ and inserting the following: any budget savings is realized in the renego- maximum protection per acre (referred to as ‘‘(1) IN GENERAL.—The Secretary’’; tiation of a Standard Reinsurance Agree- a ‘protection factor’) of not more than 120 (2) in the second sentence, by striking ‘‘Be- ment under subparagraph (A)(ii), and the percent. ginning with’’ and inserting the following: savings are determined not to be a signifi- ‘‘(6) Pay an indemnity based on the ‘‘(2) FREQUENCY.—Beginning with’’; and cant departure from budget neutrality under amount that the expected county revenue (3) by adding at the end the following: clause (i), the savings shall be used for pro- exceeds the actual county revenue, as ap- ‘‘(3) CORRECTIONS.— grams administered or managed by the Risk plied to the individual coverage of the pro- ‘‘(A) IN GENERAL.—The Corporation shall Management Agency.’’. ducer. Indemnities under the Stacked In- establish procedures that allow an agent and SEC. 11011. STACKED INCOME PROTECTION PLAN come Protection Plan shall not include or approved insurance provider within a reason- FOR PRODUCERS OF UPLAND COT- overlap the amount of the deductible se- able amount of time following the applicable TON. lected under paragraph (1). sales closing date to correct information re- (a) AVAILABILITY OF STACKED INCOME PRO- ‘‘(7) To the maximum extent practicable, garding the entity name, social security TECTION PLAN.—The Federal Crop Insurance in all counties for which data are available, number, tax identification number, or such Act is amended by inserting after section establish separate coverage for irrigated and other eligibility information as determined 508A (7 U.S.C. 1508a) the following: nonirrigated practices. by the Corporation that is provided by a pro- ducer for the purpose of obtaining coverage ‘‘SEC. 508B. STACKED INCOME PROTECTION PLAN ‘‘(8) Notwithstanding section 508(d), in- FOR PRODUCERS OF UPLAND COT- under any policy or plan of insurance made clude a premium that— TON. available under this subtitle to ensure that ‘‘(A) is sufficient to cover anticipated ‘‘(a) AVAILABILITY.—Beginning not later the eligibility information is consistent with losses and a reasonable reserve; and than the 2013 crop of upland cotton, if prac- the information reported by the producer to ‘‘(B) includes an amount for operating and ticable, the Corporation shall make avail- the Farm Service Agency. administrative expenses established in ac- able to producers of maximum eligible acres ‘‘(B) LIMITATION.—In accordance with the cordance with section 508(k)(4)(F). of upland cotton an additional policy (to be procedures of the Corporation, procedures ‘‘(c) RELATION TO OTHER COVERAGES.— known as the ‘Stacked Income Protection under subparagraph (A) may include any ‘‘(1) IN GENERAL.—Except as provided in Plan’), which shall provide coverage con- subsequent correction to the eligibility in- paragraph (2), the Stacked Income Protec- sistent with the Group Risk Income Protec- formation described in that subparagraph tion Plan is in addition to all other cov- tion Plan (and the associated Harvest Rev- made by the Farm Service Agency if the cor- erages available to producers of upland cot- enue Option Endorsement) offered by the rections do not allow the producer— ton. Corporation for the 2011 crop year. ‘‘(i) to obtain a disproportionate benefit ‘‘(b) REQUIRED TERMS.—The Corporation ‘‘(2) LIMITATION.—Acreage of upland cotton under the crop insurance program or any re- may modify the Stacked Income Protection insured under the Supplemental Coverage lated program of the Department of Agri- Plan on a program-wide basis, except that Option shall not be eligible for the Stacked culture; the Stacked Income Protection Plan shall Income Protection Plan. ‘‘(ii) to avoid ineligibility requirements for comply with the following requirements: ‘‘(d) PAYMENT OF PORTION OF PREMIUM BY insurance; or ‘‘(1)(A) Provide coverage for revenue loss of CORPORATION.—Subject to section 508(e)(4), ‘‘(iii) to avoid an obligation or requirement not more than 30 percent of expected county the amount of premium paid by the Corpora- under any Federal or State law.’’. tion for all qualifying coverage levels of the revenue, specified in increments of 5 percent. SEC. 11014. IMPLEMENTATION. ‘‘(B) The deductible is the minimum per- Stacked Income Protection Plan shall be— Section 515 of the Federal Crop Insurance cent of revenue loss at which indemnities are ‘‘(1) 80 percent of the amount of the pre- Act (7 U.S.C. 1515) is amended— triggered under the plan, not to be less than mium established under subsection (b)(8)(A) (1) in subsection (j), by striking paragraph 10 percent of the expected county revenue. for the coverage level selected; and (1) and inserting the following: ‘‘(2) the amount determined under sub- ‘‘(C) Once the deductible is met, any losses ‘‘(1) SYSTEMS MAINTENANCE AND UP- in excess of the deductible will be paid up to section (b)(8)(B) to cover administrative and GRADES.— the coverage selected by the producer. operating expenses.’’. ‘‘(A) IN GENERAL.—The Secretary shall ‘‘(2) Be offered to producers of upland cot- (b) CONFORMING AMENDMENT.—Section maintain and upgrade the information man- ton in all counties with upland cotton pro- 508(k)(4)(F) of the Federal Crop Insurance agement systems of the Corporation used in duction— Act (7 U.S.C. 1508(k)(4)(F)) (as amended by the administration and enforcement of this ‘‘(A) at a county-wide level to the fullest section 11001(d)) is amended by inserting ‘‘or subtitle. extent practicable; or under section 508B’’ after ‘‘subsection ‘‘(B) REQUIREMENT.— ‘‘(B) in counties that lack sufficient data, (c)(4)(C)’’. ‘‘(i) IN GENERAL.—In maintaining and up- on the basis of such larger geographical area SEC. 11012. PEANUT REVENUE CROP INSURANCE. grading the systems, the Secretary shall en- as the Corporation determines to provide The Federal Crop Insurance Act is amend- sure that new hardware and software are sufficient data for purposes of providing the ed by inserting after section 508B (as added compatible with the hardware and software coverage. by section 11011(a)) the following: used by other agencies of the Department to ‘‘(3) Be purchased in addition to any other ‘‘SEC. 508C. PEANUT REVENUE CROP INSURANCE. maximize data sharing and promote the pur- individual or area coverage in effect on the ‘‘(a) IN GENERAL.—Effective beginning with poses of this section. producer’s acreage or as a stand-alone pol- the 2013 crop year, the Risk Management ‘‘(ii) ACREAGE REPORT STREAMLINING INITIA- icy, except that if a producer has an indi- Agency and the Corporation shall make TIVE PROJECT.—As soon as practicable, the vidual or area coverage for the same acreage, available to producers of peanuts a revenue Secretary shall develop and implement an the maximum coverage available under the crop insurance program for peanuts. acreage report streamlining initiative Stacked Income Protection Plan shall not ‘‘(b) EFFECTIVE PRICE.— project to allow producers to report acreage exceed the deductible for the individual or ‘‘(1) IN GENERAL.—Subject to paragraph (2), and other information directly to the De- area coverage. for purposes of the policies and plans of in- partment.’’; and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00165 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.006 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4096 CONGRESSIONAL RECORD — SENATE June 12, 2012 (2) in subsection (k), by striking paragraph SEC. 11016. WHOLE FARM RISK MANAGEMENT IN- propagated and reared in controlled or se- (1) and inserting the following: SURANCE. lected environments. ‘‘(1) INFORMATION TECHNOLOGY.— Section 522(c) of the Federal Crop Insur- ‘‘(C) IMPLEMENTATION.—The Board shall re- ‘‘(A) IN GENERAL.—For purposes of sub- ance Act (7 U.S.C. 1522(c)) is amended by add- view the policy described in subparagraph section (j)(1), the Corporation may use, from ing at the end the following: (B) under subsection 508(h) and approve the amounts made available from the insurance ‘‘(18) WHOLE FARM DIVERSIFIED RISK MAN- policy if the Board finds that the policy— fund established under section 516(c), not AGEMENT INSURANCE PLAN.— ‘‘(i) will likely result in a viable and mar- more than— ‘‘(A) IN GENERAL.—The Corporation shall ketable policy consistent with this sub- ‘‘(i)(I) for fiscal year 2013, $25,000,000; and conduct activities or enter into contracts to section; ‘‘(II) for each of fiscal years 2014 through carry out research and development to de- ‘‘(ii) would provide crop insurance cov- 2017, $10,000,000; or velop a whole farm risk management insur- erage in a significantly improved form; ‘‘(ii) if the Acreage Crop Reporting ance plan, with a liability limitation of ‘‘(iii) adequately protects the interests of Streamlining Initiative (ACRSI) project is $1,500,000, that allows a diversified crop or producers; and substantially completed by September 30, livestock producer the option to qualify for ‘‘(iv) the proposed policy meets other re- 2013, not more than $15,000,000 for each of fis- an indemnity if actual gross farm revenue is quirements of this subtitle determined ap- cal years 2014 through 2017. below 85 percent of the average gross farm propriate by the Board.’’. ‘‘(B) NOTIFICATION.—Not later than July 1, revenue or the expected gross farm revenue SEC. 11019. RESEARCH AND DEVELOPMENT. 2013, the Secretary shall notify the Com- that can reasonably be expected of the pro- (a) IN GENERAL.—Section 522(c) of the Fed- mittee on Agriculture of the House of Rep- ducer, as determined by the Corporation. eral Crop Insurance Act (7 U.S.C. 1522(c)) is resentatives and the Committee on Agri- ‘‘(B) ELIGIBLE PRODUCERS.—The Corpora- amended— culture, Nutrition, and Forestry of the Sen- tion shall permit producers (including di- (1) in the subsection heading, by striking ate on the status of the substantial comple- rect-to-consumer marketers, and producers ‘‘Contracting’’; tion of the Acreage Crop Reporting Stream- servicing local and regional and farm iden- (2) in paragraph (1), in the matter pre- lining Initiative (ACRSI) project.’’. tity-preserved markets) who produce mul- ceding subparagraph (A), by striking ‘‘may SEC. 11015. APPROVAL OF COSTS FOR RESEARCH tiple agricultural commodities, including enter into contracts to carry out research AND DEVELOPMENT. specialty crops, industrial crops, livestock, and development to’’ and inserting ‘‘may Section 522(b)(2) of the Federal Crop Insur- and aquaculture products, to participate in conduct activities or enter into contracts to ance Act (7 U.S.C. 1522(b)(2)) is amended by the plan in lieu of any other plan under this carry out research and development to main- striking subparagraph (E) and inserting the subtitle. tain or improve existing policies or develop following: ‘‘(C) DIVERSIFICATION.—The Corporation new policies to’’; ‘‘(E) APPROVAL.— may provide diversification-based additional (3) in paragraph (2)— ‘‘(i) IN GENERAL.—The Board may approve coverage payment rates, premium discounts, (A) in subparagraph (A), by inserting ‘‘con- up to 50 percent of the projected total re- or other enhanced benefits in recognition of duct research and development or’’ after search and development costs to be paid in the risk management benefits of crop and ‘‘The Corporation may’’; and advance to an applicant, in accordance with livestock diversification strategies for pro- (B) by striking subparagraph (B) and in- the procedures developed by the Board for ducers that grow multiple crops or that may serting the following: the making of the payments, if, after consid- have income from the production of live- ‘‘(B) CONSULTATION.—Before conducting re- eration of the reviewer reports described in stock that uses a crop grown on the farm. search and development or entering into a subparagraph (D) and such other information ‘‘(D) MARKET READINESS.—The Corporation contract under subparagraph (A), the Cor- as the Board determines appropriate, the may include coverage for the value of any poration shall follow the consultation re- Board determines that— packing, packaging, or any other similar on- quirements described in section ‘‘(I) the concept, in good faith, will likely farm activity the Corporation determines to 508(h)(4)(E).’’; result in a viable and marketable policy con- be the minimum required in order to remove (4) in paragraph (5), by inserting ‘‘after ex- sistent with section 508(h); the commodity from the field. pert review in accordance with section 505(e) ‘‘(II) at the sole discretion of the Board, ‘‘(E) REPORT.—Not later than 2 years after and procedures of the Board’’ after ‘‘ap- the concept, if developed into a policy and the date of enactment of this paragraph, the proved by the Board’’; and approved by the Board, would provide crop Corporation shall submit to the Committee (5) in paragraph (6), by striking ‘‘a pasture, insurance coverage— on Agriculture of the House of Representa- range, and forage program’’ and inserting ‘‘(aa) in a significantly improved form or tives and the Committee on Agriculture, Nu- ‘‘policies that increase participation by pro- that addresses a unique need of agricultural trition, and Forestry of the Senate a report ducers of underserved agricultural commod- producers; that describes the results and feasibility of ities, including sweet sorghum, sorghum for ‘‘(bb) to a crop or region not traditionally biomass, specialty crops, sugarcane, and served by the Federal crop insurance pro- the research and development conducted under this paragraph, including an analysis dedicated energy crops’’. gram; or (b) FUNDING.—Section 522(e) of the Federal of potential adverse market distortions.’’. ‘‘(cc) in a form that addresses a recognized Crop Insurance Act (7 U.S.C. 1522(e)) is flaw or problem in the program; SEC. 11017. CROP INSURANCE FOR LIVESTOCK. amended— ‘‘(III) the applicant agrees to provide such Section 522(c) of the Federal Crop Insur- (1) in paragraph (2)— reports as the Corporation determines are ance Act (as amended by section 11016) is (A) by striking ‘‘(A) AUTHORITY.—’’ and in- necessary to monitor the development effort; amended by adding at the end the following: serting ‘‘(A) CONDUCTING AND CONTRACTING ‘‘(IV) the proposed budget and timetable ‘‘(19) STUDY ON SWINE CATASTROPHIC DIS- FOR RESEARCH AND DEVELOPMENT.—’’; are reasonable, as determined by the Board; EASE PROGRAM.— (B) in subparagraph (A), by inserting ‘‘con- and ‘‘(A) IN GENERAL.—The Corporation shall duct research and development and’’ after ‘‘(V) the concept proposal meets any other contract with a qualified person to conduct a ‘‘the Corporation may use to’’; and requirements that the Board determines ap- study to determine the feasibility of insuring (C) in subparagraph (B), by inserting ‘‘con- propriate. swine producers for a catastrophic event. duct research and development and’’ after ‘‘(ii) WAIVER.—The Board may waive the ‘‘(B) REPORT.—Not later than 1 year after ‘‘for the fiscal year to’’; 50-percent limitation and, upon request of the date of the enactment of this paragraph, (2) in paragraph (3), in the matter pre- the submitter after the submitter has begun the Corporation shall submit to the Com- ceding subparagraph (A), by striking ‘‘to pro- research and development activities, the mittee on Agriculture of the House of Rep- vide either reimbursement payments or con- Board may approve an additional 25 percent resentatives and the Committee on Agri- tract payments’’; and advance payment to the submitter for re- culture, Nutrition, and Forestry of the Sen- (3) by striking paragraph (4). search and development costs, if, at the sole ate a report that describes the results of the SEC. 11020. PILOT PROGRAMS. discretion of the Board, the Board deter- study conducted under subparagraph (A).’’. Section 523(a) of the Federal Crop Insur- mines that— SEC. 11018. MARGIN COVERAGE FOR CATFISH. ance Act (7 U.S.C. 1523(a)) is amended— ‘‘(I) the intended policy or plan of insur- Section 522(c) of the Federal Crop Insur- (1) in paragraph (1), by inserting ‘‘, at the ance developed by the submitter will provide ance Act (as amended by section 11017) is sole discretion of the Corporation,’’ after coverage for a region or crop that is under- amended by adding at the end the following: ‘‘may’’; and served by the Federal crop insurance pro- ‘‘(20) MARGIN COVERAGE FOR CATFISH.— (2) by striking paragraph (5). gram, including specialty crops; ‘‘(A) IN GENERAL.—The Corporation shall SEC. 11021. INDEX-BASED WEATHER INSURANCE ‘‘(II) the submitter is making satisfactory offer to enter into a contract with a qualified PILOT PROGRAM. progress towards developing a viable and entity to conduct research and development Section 523(a)(2) of the Federal Crop Insur- marketable policy or plan of insurance con- regarding a policy to insure producers ance Act (7 U.S.C. 1523(a)(2)) is amended— sistent with section 508(h); and against reduction in the margin between the (1) by striking ‘‘Under’’ inserting the fol- ‘‘(III) the submitter does not have suffi- market value of catfish and selected costs lowing: cient financial resources to complete the de- incurred in the production of catfish. ‘‘(A) IN GENERAL.—Under’’; and velopment of the submission into a viable ‘‘(B) ELIGIBILITY.—Eligibility for the policy (2) by adding at the end the following: and marketable policy or plan of insurance described in subparagraph (A) shall be lim- ‘‘(B) INDEX-BASED WEATHER INSURANCE consistent with section 508(h).’’. ited to freshwater species of catfish that are PILOT PROGRAM.—

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‘‘(i) IN GENERAL.—Notwithstanding sub- essary to improve management performance (ii) by striking the period at the end and paragraph (A), the Corporation, at the sole and business profitability; and inserting ‘‘; or’’; and discretion of the Corporation, may conduct a ‘‘(B) benchmarking of the type conducted (iii) by adding at the end the following: pilot program to provide financial assistance by farm management and producer associa- ‘‘(II) in the case of beginning farmers or for producers of underserved crops and live- tions consistent with the activities described ranchers, replace each excluded yield with a stock (including specialty crops) to purchase in or funded pursuant to section 1672D of the yield equal to 80 percent of the applicable an index-based weather insurance product Food, Agriculture, Conservation, and Trade transitional yield.’’. from a private insurance company, subject Act of 1990 (7 U.S.C. 5925f).’’. SEC. 11024. AGRICULTURAL MANAGEMENT AS- to the requirements of this subparagraph. (b) PARTNERSHIPS FOR RISK MANAGEMENT SISTANCE, RISK MANAGEMENT EDU- ‘‘(ii) PAYMENT OF PREMIUM.— FOR PRODUCERS OF SPECIALTY CROPS AND UN- CATION, AND ORGANIC CERTIFI- ‘‘(I) IN GENERAL.—Subject to subclause (II) DERSERVED AGRICULTURAL COMMODITIES.— CATION COST SHARE ASSISTANCE. and clause (v), the Corporation may pay a Section 522(d)(3)(F) of the Federal Crop In- Section 524 of the Federal Crop Insurance portion of the premium for producers who surance Act (7 U.S.C. 1522(d)(3)(F)) is amend- Act (7 U.S.C. 1524) is amended by striking purchase index-based weather insurance pro- ed by inserting ‘‘farm financial subsection (b) and inserting the following: tection from a private insurance company benchmarking,’’ after ‘‘management,’’. ‘‘(b) AGRICULTURAL MANAGEMENT ASSIST- for a crop and policy that is not reinsured (c) CROP INSURANCE EDUCATION AND RISK ANCE, RISK MANAGEMENT EDUCATION, AND OR- under this subtitle, as determined by the MANAGEMENT ASSISTANCE.—Section 524(a) of GANIC CERTIFICATION COST SHARE ASSIST- Corporation. the Federal Crop Insurance Act (7 U.S.C. ANCE.— ‘‘(II) CONDITION.—The premium assistance 1524(a)) is amended— ‘‘(1) AUTHORITY FOR PROVISION OF ASSIST- under subclause (I) shall not exceed 60 per- (1) in paragraph (3)(A), by inserting ‘‘farm ANCE.—The Secretary shall provide assist- cent of the estimated premium amount, financial benchmarking,’’ after ‘‘risk reduc- ance under this section as follows: based on expected losses, representative op- tion,’’; and ‘‘(A) Provision of organic certification cost erating expenses, and representative profit (2) in paragraph (4), in the matter pre- share assistance pursuant to section 10606 of margins, as determined by the Corporation. ceding subparagraph (A), by inserting ‘‘(in- the Farm Security and Rural Investment ‘‘(iii) ELIGIBLE PROVIDERS.—Before pro- cluding farm financial benchmarking)’’ after viding premium assistance to producers to ‘‘management strategies’’. Act of 2002 (7 U.S.C. 6523). purchase index-based weather insurance SEC. 11023. BEGINNING FARMER AND RANCHER ‘‘(B) Activities to support risk manage- from a private insurance company pursuant PROVISIONS. ment education and community outreach to this subparagraph, the Corporation shall (a) DEFINITION.—Section 502(b) of the Fed- partnerships pursuant to section 522(d), in- verify that the company has adequate expe- eral Crop Insurance Act (7 U.S.C. 1502(b)) (as cluding— rience— amended by section 11022(a)) is amended— ‘‘(i) entering into futures or hedging; ‘‘(I) to develop and manage the index-based (1) by redesignating paragraphs (3) through ‘‘(ii) entering into agricultural trade op- weather insurance products, including ade- (10) as paragraphs (4) through (11), respec- tions as a hedging transaction to reduce pro- quate resources, experience, and assets or tively; and duction, price, or revenue risk; or sufficient reinsurance to meet the obliga- (2) by inserting after paragraph (2) the fol- ‘‘(iii) conducting any other activity relat- tions of the company under this subpara- lowing: ing to an activity described in clause (i) or graph; and ‘‘(3) BEGINNING FARMER OR RANCHER.—The (ii), including farm financial benchmarking, ‘‘(II) to support and deliver the index-based term ‘beginning farmer or rancher’ means a as determined by the Secretary. weather insurance products. farmer or rancher who has not actively oper- ‘‘(C) Provision of agricultural management ‘‘(iv) PROCEDURES.—The Corporation shall ated and managed a farm or ranch with a assistance grants to producers in States in develop and publish procedures to administer bona fide insurable interest in a crop or live- which there has been traditionally, and con- the pilot program under this subparagraph stock as an owner-operator, landlord, tenant, tinues to be, a low level of Federal crop in- that— or sharecropper for more than 5 crop years, surance participation and availability, and ‘‘(I) require each applicable private insur- as determined by the Secretary.’’. producers underserved by the Federal crop ance company to report claim and sales data, (b) PREMIUM ADJUSTMENTS.—Section 508 of insurance program, as determined by the and any other data the Corporation deter- the Federal Crop Insurance Act (7 U.S.C. Secretary, for the purposes of— mines to be appropriate, to allow the Cor- 1508) is amended— ‘‘(i) constructing or improving— poration to evaluate product pricing and per- (1) in subsection (b)(5)(E), by inserting ‘‘(I) watershed management structures; or formance; ‘‘and beginning farmers or ranchers’’ after ‘‘(II) irrigation structures; ‘‘(II) allow the private insurance compa- ‘‘limited resource farmers’’; ‘‘(ii) planting trees to form windbreaks or nies exclusive rights over the private insur- (2) in subsection (e), by adding at the end to improve water quality; and ance offered under this subparagraph, includ- the following: ‘‘(iii) mitigating financial risk through ing rating of policies, protection of intellec- ‘‘(8) PREMIUM FOR BEGINNING FARMERS OR production or marketing diversification or tual property rights on the product or pol- RANCHERS.—Notwithstanding any other pro- resource conservation practices, including— icy, and associated rating methodology, for vision of this subsection regarding payment ‘‘(I) soil erosion control; the period during which the companies are of a portion of premiums, a beginning farmer ‘‘(II) integrated pest management; eligible under clause (iii); and or rancher shall receive premium assistance ‘‘(III) organic farming; or ‘‘(III) contain such other requirements as that is 10 percentage points greater than pre- ‘‘(IV) to develop and implement a plan to the Corporation determines to be necessary mium assistance that would otherwise be create marketing opportunities for the pro- to ensure that— available under paragraphs (2) (except for ducer, including through value-added proc- ‘‘(aa) the interests of producers are pro- subparagraph (A) of that paragraph), (5), (6), essing. tected; and and (7) for the applicable policy, plan of in- ‘‘(2) PAYMENT LIMITATION.—The total ‘‘(bb) the program operates in an actuari- surance, and coverage level selected by the amount of payments made to a person (as de- ally sound manner. beginning farmer or rancher.’’; and fined in section 1001(5) of the Food Security ‘‘(v) FUNDING.—Of the funds of the Corpora- (3) in subsection (g)— Act (7 U.S.C. 1308(5))) (as in existence before tion, the Corporation shall use to carry out (A) in paragraph (2)(B)— the amendment made by section 1603(b) of this subparagraph $10,000,000 for each of fis- (i) in clause (i), by striking ‘‘or’’ at the the Food, Conservation, and Energy Act of cal years 2013 through 2017, to remain avail- end; 2008 (Public Law 110–246; 122 Stat. 1730)) able until expended.’’. (ii) in clause (ii)(III), by striking the period under paragraph (1) for any year may not ex- SEC. 11022. ENHANCING PRODUCER SELF-HELP at the end and inserting ‘‘; or’’; and ceed $50,000. THROUGH FARM FINANCIAL (iii) by adding at the end the following: ‘‘(3) FUNDING.— BENCHMARKING. ‘‘(iii) if the producer is a beginning farmer ‘‘(A) IN GENERAL.—The Secretary shall (a) DEFINITION.—Section 502(b) of the Fed- or rancher who was previously involved in a carry out this subsection through the Com- eral Crop Insurance Act (7 U.S.C. 1502(b)) is farming or ranching operation, including in- modity Credit Corporation. amended— volvement in the decisionmaking or physical ‘‘(B) FUNDING.—For each of fiscal years (1) by redesignating paragraphs (6) through involvement in the production of the crop or 2013 through 2017, the Commodity Credit Cor- (9) as paragraphs (7) through (10), respec- livestock on the farm, for any acreage ob- poration shall make available to carry out tively; and tained by the beginning farmer or rancher, a this subsection $23,000,000. (2) by inserting after paragraph (5) the fol- yield that is the higher of— ‘‘(C) DISTRIBUTION OF FUNDS.—Of the lowing: ‘‘(I) the actual production history of the amount made available to carry out this sub- ‘‘(6) FARM FINANCIAL BENCHMARKING.—The previous producer of the crop or livestock on section for a fiscal year, the Commodity term ‘farm financial benchmarking’ means— the acreage determined under subparagraph Credit Corporation shall use not less than— ‘‘(A) the process of comparing the perform- (A); or ‘‘(i) 50 percent to carry out paragraph ance of an agricultural enterprise against ‘‘(II) a yield of the producer, as determined (1)(A); the performance of other similar enterprises, in clause (i).’’; and ‘‘(ii) 26 percent to carry out paragraph through the use of comparable and reliable (B) in paragraph (4)(B)(ii) (as amended by (1)(B); and data, in order to identify business manage- section 11006)— ‘‘(iii) 24 percent to carry out paragraph ment strengths, weaknesses, and steps nec- (i) by inserting ‘‘(I)’’ after ‘‘(ii)’’; (1)(C).’’.

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SEC. 11025. CROP PRODUCTION ON NATIVE SOD. (2) ANNUAL UPDATES.—Not later than Janu- Subtitle B—Livestock (a) FEDERAL CROP INSURANCE.—Section ary 1, 2014, and each January 1 thereafter SEC. 12101. WILDLIFE RESERVOIR ZOONOTIC DIS- 508(o) of the Federal Crop Insurance Act (7 through January 1, 2017, the Secretary of Ag- EASE INITIATIVE. U.S.C. 1508(o)) is amended— riculture shall submit to the Committee on Title IV of the Agricultural Research, Ex- (1) in paragraph (1)(B), by inserting ‘‘, or Agriculture of the House of Representatives tension, and Education Reform Act of 1998 (7 the producer cannot substantiate that the and the Committee on Agriculture, Nutri- U.S.C. 7621 et seq.) is amended by adding at ground has ever been tilled,’’ after ‘‘tilled’’; tion, and Forestry of the Senate a report the end the following: (2) in paragraph (2)(A), by striking ‘‘for that describes— ‘‘SEC. 413. WILDLIFE RESERVOIR ZOONOTIC DIS- benefits under—’’ and all that follows (A) the cropland acreage in each county EASE INITIATIVE. through the period at the end and inserting and State as of the date of submission of the ‘‘(a) DEFINITION OF COVERED DISEASE.—In ‘‘for— report; and this section, the term ‘covered disease’ ‘‘(i) a portion of crop insurance premium (B) the change in cropland acreage from means a zoonotic disease affecting domestic subsidies under this subtitle in accordance the preceding year in each county and State. livestock that is transmitted primarily from with paragraph (3); SEC. 11026. TECHNICAL AMENDMENTS. wildlife. ‘‘(ii) benefits under section 196 of the Fed- Section 508(b) of the Federal Crop Insur- ‘‘(b) ESTABLISHMENT.—There is established eral Agriculture Improvement and Reform ance Act (7 U.S.C. 1508(b)) is amended— within the Department a wildlife reservoir Act of 1996 (7 U.S.C. 7333); and (1) by striking paragraph (7); and zoonotic disease initiative to provide assist- ‘‘(iii) payments described in subsection (b) (2) by redesignating paragraphs (8) through ance through Coordinated Agricultural of section 1001 of the Food Security Act of (11) as paragraphs (7) through (10), respec- Project grants for research and development 1985 (7 U.S.C. 1308).’’; and tively. of surveillance methods, vaccines, vaccina- tion delivery systems, or diagnostic tests for (3) by striking paragraph (3) and inserting TITLE XII—MISCELLANEOUS the following: covered diseases. Subtitle A—Socially Disadvantaged ‘‘(3) ADMINISTRATION.— ‘‘(c) COVERED DISEASE.— Producers and Limited Resource Producers ‘‘(A) IN GENERAL.—During the first 4 crop ‘‘(1) IN GENERAL.—To be eligible for a grant years of planting on native sod acreage by a SEC. 12001. OUTREACH AND ASSISTANCE FOR SO- under this section, an eligible entity shall producer described in paragraph (2)— CIALLY DISADVANTAGED FARMERS conduct research and development of surveil- AND RANCHERS AND VETERAN ‘‘(i) paragraph (2) shall apply to 65 percent lance methods, vaccines, vaccination deliv- FARMERS AND RANCHERS. ery systems, or diagnostic tests for covered of the applicable transitional yield; and (a) OUTREACH AND ASSISTANCE FOR SO- diseases in— ‘‘(ii) the crop insurance premium subsidy CIALLY DISADVANTAGED FARMERS AND RANCH- ‘‘(A) a wildlife reservoir in the United provided for the producer under this subtitle ERS AND VETERAN FARMERS AND RANCHERS.— States; or shall be 50 percentage points less than the Section 2501 of the Food, Agriculture, Con- ‘‘(B) domestic livestock or wildlife pre- premium subsidy that would otherwise servation, and Trade Act of 1990 (7 U.S.C. senting a potential concern to public health. apply. 2279) is amended— ‘‘(2) PRIORITY.—In making grants under ‘‘(B) YIELD SUBSTITUTION.—During the pe- (1) in the section heading, by inserting this section, the Secretary shall give pri- riod native sod acreage is covered by this ‘‘AND VETERAN FARMERS AND RANCH- ority to grants that address— subsection, a producer may not substitute ERS’’ after ‘‘RANCHERS’’; ‘‘(A) Brucella abortus (Bovine Brucellosis); yields for the native sod acreage.’’. (2) in subsection (a)— ‘‘(B) Mycobacterium bovis (Bovine Tuber- (b) NONINSURED CROP DISASTER ASSIST- (A) in paragraph (2)(B)(i), by inserting culosis); or ANCE.—Section 196(a)(4) of the Federal Agri- ‘‘and veteran farmers or ranchers’’ after ‘‘(C) other zoonotic disease in livestock culture Improvement and Reform Act of 1996 ‘‘ranchers’’; and that is covered by a high-priority research (7 U.S.C. 7333(a)(4)) is amended— (B) in paragraph (4)— and extension initiative conducted under (1) in subparagraph (A)(ii), by inserting ‘‘, (i) in subparagraph (A)— section 1672 of the Food, Agriculture, Con- or the producer cannot substantiate that the (I) in clause (i), by striking ‘‘and’’ at the servation, and Trade Act of 1990 (7 U.S.C. ground has ever been tilled,’’ after ‘‘tilled’’; end; 5925). (2) in subparagraph (B)(i), by striking ‘‘for (II) in clause (ii), by striking the period at benefits under—’’ and all that follows ‘‘(d) ELIGIBLE ENTITIES.—The Secretary the end and inserting ‘‘; and’’; and shall carry out the initiative established through the period at the end and inserting (III) by adding at the end the following: ‘‘for— under subsection (b) through public sci- ‘‘(iii) $5,000,000 for each of fiscal years 2013 entific research consortia that may consist ‘‘(I) benefits under this section; through 2017.’’; and ‘‘(II) a portion of crop insurance premium of members from— (ii) by adding at the end the following: ‘‘(1) Federal agencies; subsidies under the Federal Crop Insurance ‘‘(D) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(2) National Laboratories; Act (7 U.S.C. 1501 et seq.) in accordance with There is authorized to be appropriated to ‘‘(3) institutions of higher education; subparagraph (C); and carry out this section $20,000,000 for each of ‘‘(4) research institutions and organiza- ‘‘(III) payments described in subsection (b) fiscal years 2013 through 2017.’’; tions; or of section 1001 of the Food Security Act of (3) in subsection (b)(2), by inserting ‘‘or ‘‘(5) State agricultural experiment sta- 1985 (7 U.S.C. 1308).’’; and veteran farmers and ranchers’’ after ‘‘so- tions. (3) by striking subparagraph (C) and insert- cially disadvantaged farmers and ranchers’’; ‘‘(e) RESEARCH PROJECTS.—In carrying out ing the following: and this section, the Secretary shall award ‘‘(C) ADMINISTRATION.— (4) in subsection (c)— grants on a competitive basis. ‘‘(i) IN GENERAL.—During the first 4 crop (A) in paragraph (1)(A), by inserting ‘‘vet- ‘‘(f) ADMINISTRATION.— years of planting on native sod acreage by a eran farmers or ranchers and’’ before ‘‘mem- ‘‘(1) IN GENERAL.—In the case of grants producer described in subparagraph (B)— bers’’; and awarded under this section, the Secretary ‘‘(I) subparagraph (B) shall apply to 65 per- (B) in paragraph (2)(A), by inserting ‘‘vet- shall— cent of the applicable transitional yield; and eran farmers or ranchers and’’ before ‘‘mem- ‘‘(A) seek and accept proposals for grants; ‘‘(II) the crop insurance premium subsidy bers’’. ‘‘(B) determine the relevance and merit of provided for the producer under the Federal (b) DEFINITION OF VETERAN FARMER OR proposals through a system of peer and merit Crop Insurance Act (7 U.S.C. 1501 et seq.) RANCHER.—Section 2501(e) of the Food, Agri- review in accordance with section 103; shall be 50 percentage points less than the culture, Conservation, and Trade Act of 1990 ‘‘(C) award grants on the basis of merit, premium subsidy that would otherwise (7 U.S.C. 2279(e)) is amended by adding at the quality, and relevance; and apply. end the following: ‘‘(D) manage the initiative established ‘‘(ii) YIELD SUBSTITUTION.—During the pe- ‘‘(7) VETERAN FARMER OR RANCHER.—The under subsection (b) using a Coordinated Ag- riod native sod acreage is covered by this term ‘veteran farmer or rancher’ means a ricultural Project format. paragraph, a producer may not substitute farmer or rancher who served in the active ‘‘(2) TERM.—The term of a grant under this yields for the native sod acreage.’’. military, naval, or air service, and who was section may not exceed 10 years. (c) CROPLAND REPORT.— discharged or released from the service ‘‘(3) MATCHING FUNDS REQUIRED.—The Sec- (1) BASELINE.——Not later than 180 days under conditions other than dishonorable.’’. retary shall require the recipient of a grant after the date of enactment of this Act, the SEC. 12002. OFFICE OF ADVOCACY AND OUT- under this section to provide funds or in- Secretary of Agriculture shall submit to the REACH. kind support from non-Federal sources in an Committee on Agriculture of the House of Section 226B(f)(3) of the Department of Ag- amount that is not less than 25 percent of Representatives and the Committee on Agri- riculture Reorganization Act of 1994 (7 U.S.C. the amount provided by the Federal Govern- culture, Nutrition, and Forestry of the Sen- 6934(f)(3)) is amended to read as follows: ment. ate a report that describes the cropland acre- ‘‘(3) AUTHORIZATION OF APPROPRIATIONS.— ‘‘(4) OTHER CONDITIONS.—The Secretary age in each county and State, and the There are authorized to be appropriated to may set such other conditions on the award change in cropland acreage from the pre- carry out this subsection— of a grant under this section as the Sec- ceding year in each county and State, begin- ‘‘(A) such sums as are necessary for each of retary determines to be appropriate. ning with calendar year 2000 and including fiscal years 2009 through 2012; and ‘‘(g) BUILDINGS AND FACILITIES.—Funds that information for the most recent year ‘‘(B) $2,000,000 for each of fiscal years 2013 made available under this section shall not for which that information is available. through 2017.’’. be used for—

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This Act shall become effective 5 days ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.— feral swine; after enactment. ‘‘(1) IN GENERAL.—There is authorized to be (2) to develop methods to eradicate or con- appropriated to carry out this section trol feral swine in the pilot area; and SA 2391. Mr. REID proposed an $7,000,000 for each of fiscal years 2012 through (3) to develop methods to restore damage 2017. caused by feral swine. amendment to the bill S. 3240, to reau- ‘‘(2) ALLOCATION.—Of the amount made (c) COORDINATION.—The Secretary shall en- thorize agricultural programs through available for a fiscal year under paragraph sure that the Natural Resource Conservation 2017, and for other purposes; as follows: (1), the Secretary shall use not less than 30 Service and the Animal and Plant Health In- Beginning on page 312, strike line 1 and all percent of the amount for the fiscal year to spection Service coordinate to carry out the that follows through page 342, line 10, and in- carry out activities under each of subpara- pilot program. sert the following: graphs (A) and (B) of subsection (c)(2).’’. (d) COST SHARING.— TITLE IV—NUTRITION (1) FEDERAL SHARE.—The Federal share of SEC. 12102. TRICHINAE CERTIFICATION PRO- Subtitle A—Supplemental Nutrition the costs of the pilot program under this sec- GRAM. Assistance Program Section 10405(d)(1) of the Animal Health tion may not exceed 75 percent of the total costs of carrying out the pilot program. SEC. 4001. FOOD DISTRIBUTION PROGRAM ON IN- Protection Act (7 U.S.C. 8304(d)(1)) is amend- DIAN RESERVATIONS. ed in subparagraphs (A) and (B) by striking (2) IN-KIND CONTRIBUTIONS.—The non-Fed- eral share of the costs of the pilot program Section 4(b)(6)(F) of the Food and Nutri- ‘‘2012’’ each place it appears and inserting tion Act of 2008 (7 U.S.C. 2013(b)(6)(F)) is ‘‘2017’’. may be provided in the form of in-kind con- tributions of materials or services. amended by striking ‘‘2012’’ and inserting SEC. 12103. NATIONAL AQUATIC ANIMAL HEALTH ‘‘2017’’. PLAN. (e) LIMITATION ON ADMINISTRATIVE EX- SEC. 4002. STANDARD UTILITY ALLOWANCES Section 11013(d) of the Food, Conservation, PENSES.—Not more than 10 percent of finan- cial assistance provided by the Secretary BASED ON THE RECEIPT OF ENERGY and Energy Act of 2008 (7 U.S.C. 8322(d)) is ASSISTANCE PAYMENTS. under this section may be used for adminis- amended by striking ‘‘2012’’ and inserting (a) STANDARD UTILITY ALLOWANCES IN THE trative expenses. ‘‘2017’’. SUPPLEMENTAL NUTRITION ASSISTANCE PRO- (f) AUTHORIZATION OF APPROPRIATIONS.— SEC. 12104. SHEEP PRODUCTION AND MAR- GRAM.—Section 5(e)(6)(C) of the Food and Nu- There is authorized to be appropriated to KETING GRANT PROGRAM. trition Act of 2008 (7 U.S.C. 2014(e)(6)(C)) is carry out this section $2,000,000 for each of (a) IN GENERAL.—Subtitle A of the Agricul- amended— fiscal years 2013 through 2017. tural Marketing Act of 1946 (7 U.S.C. 1621 et (1) in clause (i), by inserting ‘‘, subject to seq.) is amended by adding at the end the fol- Subtitle C—Other Miscellaneous Provisions clause (iv)’’ after ‘‘Secretary’’; and lowing: SEC. 12201. MILITARY VETERANS AGRICULTURAL (2) in clause (iv)(I), by striking ‘‘the house- ‘‘SEC. 209. SHEEP PRODUCTION AND MARKETING LIAISON. hold still incurs’’ and all that follows GRANT PROGRAM. (a) IN GENERAL.—Subtitle A of the Depart- through the end of the subclause and insert- ‘‘(a) ESTABLISHMENT.—The Secretary, act- ment of Agriculture Reorganization Act of ing ‘‘the payment received by, or made on ing through the Administrator of the Agri- 1994 is amended by inserting after section 218 behalf of, the household exceeds $10 or a cultural Marketing Service (referred to in (7 U.S.C. 6918) the following: higher amount annually, as determined by this section as the ‘Secretary’) shall estab- ‘‘SEC. 219. MILITARY VETERANS AGRICULTURAL the Secretary.’’. lish a competitive grant program for the pur- LIAISON. (b) CONFORMING AMENDMENT.—Section poses of improving the United States sheep ‘‘(a) AUTHORIZATION.—The Secretary shall 2605(f)(2)(A) of the Low-Income Home Energy industry. establish in the Department the position of Assistance Act of 1981 (42 U.S.C. 8624(f)(2)(A)) ‘‘(b) PURPOSE.—The purpose of the grant Military Veterans Agricultural Liaison. is amended by inserting before the semicolon program shall be to strengthen and enhance ‘‘(b) DUTIES.—The Military Veterans Agri- at the end ‘‘, except that, for purposes of the the production and marketing of sheep and cultural Liaison shall— supplemental nutrition assistance program sheep products, including improvement of— ‘‘(1) provide information to returning vet- established under the Food and Nutrition ‘‘(1) infrastructure; erans about, and connect returning veterans Act of 2008 (7 U.S.C. 2011 et seq.), such pay- ‘‘(2) business; with, beginning farmer training and agricul- ments or allowances exceed $10 or a higher ‘‘(3) resource development; and tural vocational and rehabilitation programs amount annually, as determined by the Sec- ‘‘(4) innovative approaches to solve long- appropriate to the needs and interests of re- retary of Agriculture in accordance with sec- term needs. turning veterans, including assisting vet- tion 5(e)(6)(C)(iv)(I) of that Act (7 U.S.C. ‘‘(c) ELIGIBILITY.—The Secretary shall erans in using Federal veterans educational 2014(e)(6)(C)(iv)(I))’’. make grants under this section to 1 or more benefits for purposes relating to beginning a (c) EFFECTIVE AND IMPLEMENTATION national entities the mission of which is con- farming or ranching career; DATE.— sistent with the purpose of the grant pro- ‘‘(2) provide information to veterans con- (1) IN GENERAL.—Except as provided in gram. cerning the availability of and eligibility re- paragraph (2), this section and the amend- ‘‘(d) FUNDING.—Of the funds of the Com- quirements for participation in agricultural ments made by this section shall take effect modity Credit Corporation, the Secretary programs, with particular emphasis on be- beginning on October 1, 2013, for all certifi- shall use to carry out this section $1,500,000 ginning farmer and rancher programs; cation periods beginning after that date. for fiscal year 2013, to remain available until ‘‘(3) serving as a resource for assisting vet- (2) STATE OPTION TO DELAY IMPLEMENTATION expended.’’. eran farmers and ranchers, and potential FOR CURRENT RECIPIENTS.—A State may, at (b) CONFORMING AMENDMENT.—Section 374 farmers and ranchers, in applying for partici- the option of the State, implement a policy of the Consolidated Farm and Rural Develop- pation in agricultural programs; and that eliminates or minimizes the effect of ment Act (7 U.S.C. 2008j) (as in existence on ‘‘(4) advocating on behalf of veterans in the amendments made by this section for the day before the date of enactment of this interactions with employees of the Depart- households that receive a standard utility al- Act) is— ment.’’. lowance as of the date of enactment of this (1) amended in subsection (e)— (b) CONFORMING AMENDMENTS.—Section Act for not more than a 180-day period begin- (A) in paragraph (3)(D), by striking ‘‘3 per- 296(b) of the Department of Agriculture Re- ning on the date on which the amendments cent’’ and inserting ‘‘10 percent’’; and organization Act of 1994 (7 U.S.C. 7014(b)) (as made by this section would otherwise affect (B) by striking paragraph (6); and amended by section 4206(b)) is amended— the benefits received by a household. (2) redesignated as section 210 of the Agri- (1) in paragraph (8), by striking the ‘‘or’’ at SEC. 4003. ELIGIBILITY DISQUALIFICATIONS. cultural Marketing Act of 1946; and the end; Section 6(e)(3)(B) of Food and Nutrition (3) moved so as to appear at the end of sub- (2) in paragraph (9), by striking the period Act of 2008 (7 U.S.C. 2015(e)(3)(B)) is amended title A of that Act (as amended by sub- at the end and inserting ‘‘; or’’; and by striking ‘‘section’’ and inserting the fol- section (a)). (3) by adding at the end the following: lowing: ‘‘section, subject to the condition SEC. 12105. FERAL SWINE ERADICATION PILOT ‘‘(10) the authority of the Secretary to es- that the course or program of study— PROGRAM. tablish in the Department the position of ‘‘(i) is part of a program of career and tech- (a) IN GENERAL.—To eradicate or control Military Veterans Agricultural Liaison in nical education (as defined in section 3 of the the threat feral swine pose to the domestic accordance with section 219.’’. Carl D. Perkins Career and Technical Edu- swine population, the entire livestock indus- cation Act of 2006 (20 U.S.C. 2302)) that may try, and the destruction of crops and natural SA 2390. Mr. REID proposed an be completed in not more than 4 years at an plant communities and native habitats, the amendment to amendment SA 2389 pro- institution of higher education (as defined in Secretary of Agriculture may establish a posed by Mr. REID (for Ms. STABENOW section 102 of the Higher Education Act of feral swine eradication pilot program. (for herself and Mr. ROBERTS)) to the 1965 (20 U.S.C. 1002)); or

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‘‘(ii) is limited to remedial courses, basic ‘‘(B) EXEMPTIONS.—The Secretary may ex- ‘‘(II) after an excessive number of lost adult education, literacy, or English as a empt categories of retail food stores or indi- cards, the head of the household shall be re- second language;’’. vidual retail food stores from subparagraph quired to review program rights and respon- SEC. 4004. ENDING SUPPLEMENTAL NUTRITION (A) based on criteria established by the Sec- sibilities with State agency personnel au- ASSISTANCE PROGRAM BENEFITS retary. thorized to make determinations under sec- FOR LOTTERY OR GAMBLING WIN- ‘‘(5) UNIQUE IDENTIFICATION NUMBER RE- tion 5(a); and NERS. QUIRED.—The Secretary shall require all par- ‘‘(III) any action taken, including actions (a) IN GENERAL.—Section 6 of the Food and ties providing electronic benefit transfer required under section 6(b)(2), other than the Nutrition Act of 2008 (7 U.S.C. 2015) is amend- services to provide for and maintain unique withholding of the electronic benefit trans- ed by adding at the end the following: terminal identification number information fer card until an explanation described in ‘‘(r) INELIGIBILITY FOR BENEFITS DUE TO RE- through the supplemental nutrition assist- subclause (I) is provided, shall be consistent CEIPT OF SUBSTANTIAL LOTTERY OR GAMBLING ance program electronic benefit transfer with the due process protections under sec- WINNINGS.— transaction routing system.’’. tion 6(b) or 11(e)(10), as appropriate. ‘‘(1) IN GENERAL.—Any household in which (c) ELECTRONIC BENEFIT TRANSFERS.—Sec- ‘‘(C) PROTECTING VULNERABLE PERSONS.—In a member receives substantial lottery or tion 7(h)(3)(B) of the Food and Nutrition Act gambling winnings, as determined by the implementing this paragraph, a State agency of 2008 (7 U.S.C. 2016(h)(3)(B)) is amended by shall act to protect homeless persons, per- Secretary, shall lose eligibility for benefits striking ‘‘is operational—’’ and all that fol- immediately upon receipt of the winnings. sons with disabilities, victims of crimes, and lows through ‘‘(ii) in the case of other par- other vulnerable persons who lose electronic ‘‘(2) DURATION OF INELIGIBILITY.—A house- ticipating stores,’’ and inserting ‘‘is oper- hold described in paragraph (1) shall remain benefit transfer cards but are not inten- ational’’. tionally committing fraud. ineligible for participation until the house- (d) APPROVAL OF RETAIL FOOD STORES AND hold meets the allowable financial resources ‘‘(D) EFFECT ON ELIGIBILITY.—While a State WHOLESALE FOOD CONCERNS.—Section 9 of may decline to issue an electronic benefits and income eligibility requirements under the Food and Nutrition Act of 2008 (7 U.S.C. transfer card until a household satisfies the subsections (c), (d), (e), (f), (g), (i), (k), (l), 2018) is amended— requirements under this paragraph, nothing (m), and (n) of section 5. (1) in subsection (a)— in this paragraph shall be considered a denial ‘‘(3) AGREEMENTS.—As determined by the (A) in the second sentence of paragraph of, or limitation on, the eligibility for bene- Secretary, each State agency, to the max- (a)(1), by striking ‘‘; and (C)’’ and inserting fits under section 5.’’. imum extent practicable, shall establish ‘‘; (C) whether the applicant is located in an agreements with entities responsible for the area with significantly limited access to SEC. 4007. TECHNOLOGY MODERNIZATION FOR regulation or sponsorship of gaming in the food; and (D)’’; and RETAIL FOOD STORES. State to determine whether individuals par- (2) by adding at the end the following: (a) MOBILE TECHNOLOGIES.—Section 7(h) of ticipating in the supplemental nutrition as- ‘‘(4) RETAIL FOOD STORES WITH SIGNIFICANT the Food and Nutrition Act of 2008 (7 U.S.C. sistance program have received substantial SALES OF EXCEPTED ITEMS.— 2016(h)) (as amended by section 4016(e)) is lottery or gambling winnings.’’. ‘‘(A) IN GENERAL.—No retail food store for amended by adding at the end the following: (b) CONFORMING AMENDMENTS.—Section 5(a) which at least 45 percent of the total sales of ‘‘(14) MOBILE TECHNOLOGIES.— of the Food and Nutrition Act of 2008 (7 the retail food store is from the sale of ex- ‘‘(A) IN GENERAL.—Subject to subparagraph U.S.C. 2014(a)) is amended in the second sen- cepted items described in section 3(k)(1) may (B), the Secretary shall approve retail food tence by striking ‘‘sections 6(b), 6(d)(2), and be authorized to accept and redeem benefits stores to redeem benefits through electronic 6(g)’’ and inserting ‘‘subsections (b), (d)(2), means other than wired point of sale devices (g), and (r) of section 6’’. unless the Secretary determines that the participation of the retail food store is re- for electronic benefit transfer transactions, SEC. 4005. RETAIL FOOD STORES. quired for the effective and efficient oper- if the retail food stores— (a) DEFINITION OF RETAIL FOOD STORE.— ation of the supplemental nutrition assist- ‘‘(i) establish recipient protections regard- Subsection (o)(1)(A) of section 3 of the Food ing privacy, ease of use, access, and support and Nutrition Act of 2008 (7 U.S.C. 2012) (as ance program. ‘‘(B) APPLICATION.—Subparagraph (A) shall similar to the protections provided for trans- redesignated by section 4016(a)(4)) is amend- actions made in retail food stores; ed by striking ‘‘at least 2’’ and inserting ‘‘at be effective— ‘‘(i) in the case of retail food stores apply- ‘‘(ii) bear the costs of obtaining, installing, least 3’’. and maintaining mobile technologies, in- (b) ALTERNATIVE BENEFIT DELIVERY.—Sec- ing to be authorized for the first time, begin- cluding mechanisms needed to process EBT tion 7(f) of the Food and Nutrition Act of ning on the date that is 1 year after the date cards and transaction fees; 2008 (7 U.S.C. 2016(f)) is amended— of enactment of this paragraph; and (1) by striking paragraph (2) and inserting ‘‘(ii) in the case of retail food stores par- ‘‘(iii) demonstrate the foods purchased the following: ticipating in the program on the date of en- with benefits issued under this section through mobile technologies are purchased ‘‘(2) IMPOSITION OF COSTS.— actment of this paragraph, during periodic at a price not higher than the price of the ‘‘(A) IN GENERAL.—Except as provided in reauthorization in accordance with para- subparagraph (B), the Secretary shall require graph (2)(A).’’; and same food purchased by other methods used participating retail food stores (including (3) by adding at the end the following: by the retail food store, as determined by the restaurants participating in a State option ‘‘(g) EBT SERVICE REQUIREMENT.—An ap- Secretary; restaurant program intended to serve the el- proved retail food store shall provide ade- ‘‘(iv) provide adequate documentation for derly, disabled, and homeless) to pay 100 per- quate EBT service as described in section each authorized transaction, as determined cent of the costs of acquiring, and arrange 7(h)(3)(B).’’. by the Secretary; and for the implementation of, electronic benefit SEC. 4006. IMPROVING SECURITY OF FOOD AS- ‘‘(v) meet other criteria as established by transfer point-of-sale equipment and sup- SISTANCE. the Secretary. plies, including related services. Section 7(h)(8) of the Food and Nutrition ‘‘(B) DEMONSTRATION PROJECT ON ACCEPT- ‘‘(B) EXEMPTIONS.—The Secretary may ex- Act of 2008 (7 U.S.C. 2016(h)(8)) is amended— ANCE OF BENEFITS OF MOBILE TRANSACTIONS.— empt from subparagraph (A)— (1) by striking the paragraph heading and ‘‘(i) IN GENERAL.—Before authorizing im- ‘‘(i) farmers’ markets, military com- inserting ‘‘REPLACEMENT OF CARDS.—’’; plementation of subparagraph (A) in all missaries, nonprofit food buying coopera- (2) by striking ‘‘A State’’ and inserting the States, the Secretary shall pilot the use of tives, and establishments, organizations, following: mobile technologies determined by the Sec- programs, or group living arrangements de- ‘‘(A) FEES.—A State’’; and retary to be appropriate to test the feasi- scribed in paragraphs (5), (7), and (8) of sec- (3) by adding after subparagraph (A) (as so bility and implications for program integ- tion 3(k); and designated by paragraph (2)) the following: rity, by allowing retail food stores to accept ‘‘(ii) establishments described in para- ‘‘(B) PURPOSEFUL LOSS OF CARDS.— benefits from recipients of supplemental nu- graphs (3), (4), and (9) of section 3(k), other ‘‘(i) IN GENERAL.—Subject to terms and trition assistance through mobile trans- than restaurants participating in a State op- conditions established by the Secretary in actions. tion restaurant program.’’; and accordance with clause (ii), if a household ‘‘(ii) DEMONSTRATION PROJECTS.—To be eli- (2) by adding at the end the following: makes excessive requests for replacement of gible to participate in a demonstration ‘‘(4) TERMINATION OF MANUAL VOUCHERS.— the electronic benefit transfer card of the project under clause (i), a retail food store ‘‘(A) IN GENERAL.—Effective beginning on household, the Secretary may require a shall submit to the Secretary for approval a the date of enactment of this paragraph, ex- State agency to decline to issue a replace- plan that includes— cept as provided in subparagraph (B), no ment card to the household unless the house- ‘‘(I) a description of the technology; State shall issue manual vouchers to a hold, upon request of the State agency, pro- ‘‘(II) the manner by which the retail food household that receives supplemental nutri- vides an explanation for the loss of the card. store will provide proof of the transaction to tion assistance under this Act or allow retail ‘‘(ii) REQUIREMENTS.—The terms and condi- households; food stores to accept manual vouchers as tions established by the Secretary shall pro- ‘‘(III) the provision of data to the Sec- payment, unless the Secretary determines vide that— retary, consistent with requirements estab- that the manual vouchers are necessary, ‘‘(I) the household be given the oppor- lished by the Secretary, in a manner that al- such as in the event of an electronic benefit tunity to provide the requested explanation lows the Secretary to evaluate the impact of transfer system failure or a disaster situa- and meet the requirements under this para- the demonstration on participant access, tion. graph promptly; ease of use, and program integrity; and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00170 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.052 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4101 ‘‘(IV) such other criteria as the Secretary ‘‘(iii) adequate testing of the on-line pur- vate establishments that the State deter- may require. chasing option prior to implementation; mines necessary to meet the need identified ‘‘(iii) DATE OF COMPLETION.—The dem- ‘‘(iv) the provision of data as requested by in clause (i); and onstration projects under this subparagraph the Secretary for purposes of analyzing the ‘‘(iii) any other conditions the Secretary shall be completed and final reports sub- impact of the project on participant access, may prescribe, such as the level of security mitted to the Secretary by not later than ease of use, and program integrity; necessary to ensure that only eligible recipi- July 1, 2015. ‘‘(v) reports on progress, challenges, and ents participate in the program; and ‘‘(C) REPORT TO CONGRESS.—The Secretary results, as determined by the Secretary; and ‘‘(B) a report by the State agency to the shall— ‘‘(vi) such other criteria, including secu- Secretary annually, the schedule of which ‘‘(i) by not later than January 1, 2016, au- rity criteria, as established by the Secretary. shall be established by the Secretary, that thorize implementation of subparagraph (A) ‘‘(C) DATE OF COMPLETION.—The demonstra- includes— in all States, unless the Secretary makes a tion projects under this paragraph shall be ‘‘(i) the number of households and indi- finding, based on the data provided under completed and final reports submitted to the vidual recipients authorized to participate in subparagraph (B), that implementation in all Secretary by not later than July 1, 2015. the program, including any information on States is not in the best interest of the sup- ‘‘(5) REPORT TO CONGRESS.—The Secretary whether the individual recipient is elderly, plemental nutrition assistance program; and shall— disabled, or homeless; and ‘‘(ii) if the determination made in clause ‘‘(A) by not later than January 1, 2016, au- ‘‘(ii) an assessment of whether the program (i) is not to implement subparagraph (A) in thorize implementation of paragraph (1) in is meeting an established need, as docu- all States, submit a report to the Committee all States, unless the Secretary makes a mented under subparagraph (A)(i).’’. on Agriculture of the House of Representa- finding, based on the data provided under (b) APPROVAL OF RETAIL FOOD STORES AND tives and the Committee on Agriculture, Nu- paragraph (4), that implementation in all WHOLESALE FOOD CONCERNS.—Section 9 of trition, and Forestry of the Senate that in- States is not in the best interest of the sup- the Food and Nutrition Act of 2008 (7 U.S.C. cludes the basis of the finding.’’. plemental nutrition assistance program; and 2018) (as amended by section 4005(d)(3)) is (b) ACCEPTANCE OF BENEFITS THROUGH ON- ‘‘(B) if the determination made in subpara- amended by adding at the end the following: LINE TRANSACTIONS.— graph (A) is not to implement in all States, ‘‘(h) PRIVATE ESTABLISHMENTS.— (1) IN GENERAL.—Section 7 of the Food and submit a report to the Committee on Agri- ‘‘(1) IN GENERAL.—Subject to paragraph (2), Nutrition Act of 2008 (7 U.S.C. 2016) is amend- culture of the House of Representatives and no private establishment that contracts with ed by adding at the end the following: the Committee on Agriculture, Nutrition, a State agency to offer meals at concessional ‘‘(k) OPTION TO ACCEPT PROGRAM BENEFITS and Forestry of the Senate that includes the prices as described in paragraphs 3, 4, and 9 THROUGH ON-LINE TRANSACTIONS.— basis of the finding.’’. of section 3(k) may be authorized to accept ‘‘(1) IN GENERAL.—Subject to paragraph (4), and redeem benefits unless the Secretary de- (2) CONFORMING AMENDMENTS.— the Secretary shall approve retail food stores (A) Section 7(b) of the Food and Nutrition termines that the participation of the pri- to accept benefits from recipients of supple- Act of 2008 (7 U.S.C. 2016(b)) is amended by vate establishment is required to meet a doc- mental nutrition assistance through on-line striking ‘‘purchase food in retail food stores’’ umented need in accordance with section transactions. and inserting ‘‘purchase food from retail food 11(e)(24). ‘‘(2) REQUIREMENTS TO ACCEPT BENEFITS.—A stores’’. ‘‘(2) EXISTING CONTRACTS.— retail food store seeking to accept benefits ‘‘(A) IN GENERAL.—If, on the day before the from recipients of supplemental nutrition as- (B) Section 10 of the Food and Nutrition Act of 2008 (7 U.S.C. 2019) is amended in the date of enactment of this subsection, a State sistance through on-line transactions shall— has entered into a contract with a private es- ‘‘(A) establish recipient protections regard- first sentence by inserting ‘‘retail food stores authorized to accept and redeem benefits tablishment described in paragraph (1) and ing privacy, ease of use, access, and support the Secretary has not determined that the similar to the protections provided for trans- through on-line transactions shall be author- ized to accept benefits prior to the delivery participation of the private establishment is actions made in retail food stores; necessary to meet a documented need in ac- ‘‘(B) ensure benefits are not used to pay de- of food if the delivery occurs within a rea- sonable time of the purchase, as determined cordance with section 11(e)(24), the Secretary livery, ordering, convenience, or other fees shall allow the operation of the private es- or charges; by the Secretary,’’ after ‘‘food so pur- chased,’’. tablishment to continue without that deter- ‘‘(C) clearly notify participating house- mination of need for a period not to exceed holds at the time a food order is placed— (c) SAVINGS CLAUSE.—Nothing in this sec- tion or an amendment made by this section 180 days from the date on which the Sec- ‘‘(i) of any delivery, ordering, convenience, alter any requirements of the Food and Nu- retary establishes determination criteria, by or other fee or charge associated with the trition Act of 2008 (7 U.S.C. 2011 et seq.) un- regulation, under section 11(e)(24). food purchase; and less specifically authorized in this section or ‘‘(B) JUSTIFICATION.—If the Secretary ‘‘(ii) that any such fee cannot be paid with an amendment made by this section. makes a determination to terminate a con- benefits provided under this Act; SEC. 4008. USE OF BENEFITS FOR PURCHASE OF tract with a private establishment that is in ‘‘(D) ensure the security of on-line trans- COMMUNITY-SUPPORTED AGRI- effect on the date of enactment of this sub- actions by using the most effective tech- CULTURE SHARE. section, the Secretary shall provide jus- nology available that the Secretary con- Section 10 of the Food and Nutrition Act of tification to the State in which the private siders appropriate and cost-effective and 2008 (7 U.S.C. 2019) (as amended by section establishment is located for that termi- that is comparable to the security of trans- 4007(b)(2)(B)) is amended in the first sentence nation. actions at retail food stores; and by inserting ‘‘agricultural producers who ‘‘(3) REPORT TO CONGRESS.—Not later than ‘‘(E) meet other criteria as established by market agricultural products directly to 90 days after September 30, 2013, and 90 days the Secretary. consumers shall be authorized to redeem after the last day of each fiscal year there- ‘‘(3) STATE AGENCY ACTION.—Each State benefits for the initial cost of the purchase after, the Secretary shall report to the Com- agency shall ensure that recipients of supple- of a community-supported agriculture share mittee on Agriculture of the House of Rep- mental nutrition assistance can use benefits for an appropriate time in advance of food resentatives and the Committee on Agri- on-line as described in this subsection as ap- delivery as determined by the Secretary,’’ culture, Nutrition, and Forestry of the Sen- propriate. after ‘‘as determined by the Secretary,’’. ate on the effectiveness of a program under ‘‘(4) DEMONSTRATION PROJECT ON ACCEPT- SEC. 4009. RESTAURANT MEALS PROGRAM. this subsection using any information re- ANCE OF BENEFITS THROUGH ON-LINE TRANS- (a) IN GENERAL.—Section 11(e) of the Food ceived from States under section 11(e)(24) as ACTIONS.— and Nutrition Act of 2008 (7 U.S.C. 2020(e)) is well as any other information the Secretary ‘‘(A) IN GENERAL.—Before the Secretary au- amended— may have relating to the manner in which thorizes implementation of paragraph (1) in (1) in paragraph (22), by striking ‘‘and’’ at benefits are used.’’. all States, the Secretary shall carry out a the end; (c) CONFORMING AMENDMENTS.—Section number of demonstration projects as deter- (2) in paragraph (23), by striking the period 3(k) of the Food and Nutrition Act of 2008 (7 mined by the Secretary to test the feasi- at the end of subparagraph (C) and inserting U.S.C. 2012(k)) is amended by inserting ‘‘sub- bility of allowing retail food stores to accept ‘‘; and’’; and ject to section 9(h)’’ after ‘‘concessional benefits through on-line transactions. (3) by adding at the end the following: prices’’ each place it appears. ‘‘(B) DEMONSTRATION PROJECTS.—To be eli- ‘‘(24) if the State elects to carry out a pro- SEC. 4010. QUALITY CONTROL ERROR RATE DE- gible to participate in a demonstration gram to contract with private establish- TERMINATION. project under subparagraph (A), a retail food ments to offer meals at concessional prices, Section 16(c) of the Food and Nutrition Act store shall submit to the Secretary for ap- as described in paragraphs 3, 4, and 9 of sec- of 2008 (7 U.S.C. 2025(c)) is amended by adding proval a plan that includes— tion 3(k)— at the end the following: ‘‘(i) a method of ensuring that benefits ‘‘(A) the plans of the State agency for oper- ‘‘(10) TOLERANCE LEVEL.—For the purposes may be used to purchase only eligible items ating the program, including— of this subsection, the Secretary shall set under this Act; ‘‘(i) documentation of a need that eligible the tolerance level for excluding small errors ‘‘(ii) a description of the method of edu- homeless, elderly, and disabled clients are at $25.’’. cating participant households about the underserved in a particular geographic area; SEC. 4011. AUTHORIZATION OF APPROPRIATIONS. availability and operation of on-line pur- ‘‘(ii) the manner by which the State agen- Section 18(a)(1) of the Food and Nutrition chasing; cy will limit participation to only those pri- Act of 2008 (7 U.S.C. 2027(a)(1)) is amended in

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00171 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.052 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4102 CONGRESSIONAL RECORD — SENATE June 12, 2012 the first sentence by striking ‘‘2012’’ and in- ening recipient and retail food store program amended by striking ‘‘subsection’’ and in- serting ‘‘2017’’. integrity. serting ‘‘subsections’’. SEC. 4012. ASSISTANCE FOR COMMUNITY FOOD ‘‘(b) USE OF FUNDS.—Additional funds are (m) Section 27(a)(1) of the Food and Nutri- PROJECTS. provided under this section to supplement tion Act of 2008 (7 U.S.C. 2036(a)(1)) is amend- Section 25 of the Food and Nutrition Act of the retail food store and recipient integrity ed by striking ‘‘(Public Law 98–8; 7 U.S.C. 2008 (7 U.S.C. 2034) is amended— activities of the Department. 612c note)’’ and inserting ‘‘(7 U.S.C. 7515)’’. (1) in subsection (a)(1)(B)(ii)— ‘‘(c) FUNDING.— (n) Section 509 of the Older Americans Act (A) by striking subclause (I); and ‘‘(1) IN GENERAL.—Out of any funds in the of 1965 (42 U.S.C. 3056g) is amended in the (B) by redesignating subclauses (II) and Treasury not otherwise appropriated, the section heading by striking ‘‘FOOD STAMP (III) as subclauses (I) and (II), respectively; Secretary of the Treasury shall transfer to PROGRAMS’’ and inserting ‘‘SUPPLE- and the Secretary to carry out this section not MENTAL NUTRITION ASSISTANCE PRO- (2) in subsection (b), by adding at the end less than $18,500,000 for fiscal year 2013 and GRAMS’’. (o) Section 4115(c)(2)(H) of the Food, Con- the following: each fiscal year thereafter. servation, and Energy Act of 2008 (Public ‘‘(3) FUNDING.— ‘‘(2) RECEIPT AND ACCEPTANCE.—The Sec- Law 110–246; 122 Stat. 1871) is amended by ‘‘(A) IN GENERAL.—Out of any funds in the retary shall be entitled to receive, shall ac- striking ‘‘531’’ and inserting ‘‘454’’. Treasury not otherwise appropriated, the cept, and shall use to carry out this section Secretary of the Treasury shall transfer to the funds transferred under paragraph (1), SEC.ll. EFFECTIVE DATE. This Title shall become effective 3 days the Secretary to carry out this section not without further appropriation. after enactment. less than $5,000,000 for fiscal year 2013 and ‘‘(3) MAINTENANCE OF FUNDING.—The fund- each fiscal year thereafter. ing provided under paragraph (1) shall sup- plement (and not supplant) other Federal SA 2392. Mr. REID proposed an ‘‘(B) RECEIPT AND ACCEPTANCE.—The Sec- amendment to amendment SA 2391 pro- retary shall be entitled to receive, shall ac- funding for programs carried out under this cept, and shall use to carry out this section Act.’’. posed by Mr. REID to the bill S. 3240, to the funds transferred under subparagraph SEC. 4016. TECHNICAL AND CONFORMING reauthorize agricultural programs (A), without further appropriation. AMENDMENTS. through 2017, and for other purposes; as ‘‘(C) MAINTENANCE OF FUNDING.—The fund- (a) Section 3 of the Food and Nutrition Act follows: of 2008 (7 U.S.C. 2012) is amended— ing provided under subparagraph (A) shall Beginning on page 1, strike line 2 and all supplement (and not supplant) other Federal (1) in subsection (g), by striking ‘‘coupon,’’ that follows through page 31, line 10, and in- funding made available to the Secretary to and inserting ‘‘coupon’’; sert the following: carry out this section.’’. (2) in subsection (k)(7), by striking ‘‘or are’’ and inserting ‘‘and’’; Subtitle A—Supplemental Nutrition SEC. 4013. EMERGENCY FOOD ASSISTANCE. (3) by striking subsection (l); Assistance Block Grant Program (a) PURCHASE OF COMMODITIES.—Section (4) by redesignating subsections (m) SEC. 4001. PURPOSE. 27(a) of the Food and Nutrition Act of 2008 (7 through (t) as subsections (l) through (s), re- The purpose of this subtitle is to empower U.S.C. 2036(a)) is amended— spectively; and States with programmatic flexibility and fi- (1) in paragraph (1), by striking ‘‘2008 (5) by inserting after subsection (s) (as so nancial predictability in designing and oper- through 2012’’ and inserting ‘‘2012 through redesignated) the following: ating State programs— 2017’’; ‘‘(t) ‘Supplemental nutrition assistance (1) to raise the levels of nutrition among (2) by striking paragraph (2) and inserting program’ means the program operated pursu- low-income households; the following: ant to this Act.’’. (2) to provide supplemental nutrition as- ‘‘(2) AMOUNTS.—The Secretary shall use to (b) Section 4(a) of the Food and Nutrition sistance benefits to households with income carry out paragraph (1)— Act of 2008 (7 U.S.C. 2013(a)) is amended in and resources that are insufficient to meet ‘‘(A) for fiscal year 2012, $260,000,000; and the last sentence by striking ‘‘benefits’’ and the costs of providing adequate nutrition; ‘‘(B) for each subsequent fiscal year, the inserting ‘‘Benefits’’. and dollar amount of commodities specified in (c) Section 5 of the Food and Nutrition Act (3) to provide States the flexibility to pro- subparagraph (A) adjusted by the percentage of 2008 (7 U.S.C. 2014) is amended— vide new and innovative means to accom- by which the thrifty food plan has been ad- (1) in the last sentence of subsection plish paragraphs (1) and (2) based on the pop- justed under section 3(u)(4) between June 30, (i)(2)(D), by striking ‘‘section 13(b)(2)’’ and ulation and particular needs of each State. 2012, and June 30 of the immediately pre- inserting ‘‘section 13(b)’’; and SEC. 4002. STATE PLANS. ceding fiscal year, and subsequently in- (2) in subsection (k)(4)(A), by striking (a) IN GENERAL.—To receive a grant under creased by— ‘‘paragraph (2)(H)’’ and inserting ‘‘paragraph section 4003, a State shall submit to the Sec- ‘‘(i) for fiscal year 2013, $28,000,000; (2)(G)’’. retary a written plan that describes the ‘‘(ii) for fiscal year 2014, $24,000,000; (d) Section 6(d)(4) of the Food and Nutri- manner in which the State intends to con- ‘‘(iii) for fiscal year 2015, $20,000,000; tion Act of 2008 (7 U.S.C. 2015(d)(4)) is amend- duct a supplemental nutrition assistance ‘‘(iv) for fiscal year 2016, $18,000,000; and ed in subparagraphs (B)(vii) and (F)(iii) by program that— ‘‘(v) for fiscal year 2017 and each fiscal year indenting both clauses appropriately. (1) is designed to serve all political subdivi- thereafter, $10,000,000.’’; and (e) Section 7(h) of the Food and Nutrition sions in the State; (3) by adding at the end the following: Act of 2008 (7 U.S.C. 2016(h)) is amended by (2) provides supplemental nutrition assist- ‘‘(3) FUNDS AVAILABILITY.—For purposes of redesignating the second paragraph (12) (re- ance benefits to low-income households for the funds described in this subsection, the lating to interchange fees) as paragraph (13). the sole purpose of purchasing food, as de- (f) Section 9(a) of the Food and Nutrition Secretary shall— fined by the applicable State agency in the Act of 2008 (7 U.S.C. 2018(a)) is amended by ‘‘(A) make the funds available for 2 fiscal plan; and indenting paragraph (3) appropriately. years; and (3) limits participation in the supple- ‘‘(B) allow States to carry over unexpended (g) Section 12 of the Food and Nutrition Act of 2008 (7 U.S.C. 2021) is amended— mental nutrition assistance program to balances to the next fiscal year pursuant to those households the incomes and other fi- such terms and conditions as are determined (1) in subsection (b)(3)(C), by striking ‘‘civil money penalties’’ and inserting ‘‘civil nancial resources of which, held singly or in by the Secretary.’’. joint ownership, are determined by the State (b) EMERGENCY FOOD PROGRAM INFRASTRUC- penalties’’; and (2) in subsection (g)(1), by striking ‘‘(7 to be a substantial limiting factor in permit- TURE GRANTS.—Section 209(d) of the Emer- ting the members of the household to obtain gency Food Assistance Act of 1983 (7 U.S.C. U.S.C. 1786)’’ and inserting ‘‘(42 U.S.C. 1786)’’. (h) Section 15(b)(1) of the Food and Nutri- a more nutritious diet. 7511a(d)) is amended by striking ‘‘2012’’ and (b) REQUIREMENTS.—Each plan shall in- inserting ‘‘2017’’. tion Act of 2008 (7 U.S.C. 2024(b)(1)) is amend- ed in the first sentence by striking ‘‘an ben- clude— SEC. 4014. NUTRITION EDUCATION. efit’’ and inserting ‘‘a benefit’’. (1) specific objective criteria for— Section 28(b) of the Food and Nutrition Act (i) Section 16(a) of the Food and Nutrition (A) the determination of eligibility for nu- of 2008 (7 U.S.C. 2036a(b)) is amended by in- Act of 2008 (7 U.S.C. 2025(a)) is amended in tritional assistance for low-income house- serting ‘‘and physical activity’’ after the proviso following paragraph (8) by strik- holds, which may be based on standards re- ‘‘healthy food choices’’. ing ‘‘as amended.’’. lating to income, assets, family composition, SEC. 4015. RETAIL FOOD STORE AND RECIPIENT (j) Section 18(e) of the Food and Nutrition beneficiary population, age, work, current TRAFFICKING. Act of 2008 (7 U.S.C. 2027(e)) is amended in participation in other Federal government The Food and Nutrition Act of 2008 (7 the first sentence by striking ‘‘sections 7(f)’’ means-tested programs, and work, student U.S.C. 2011 et seq.) is amended by adding at and inserting ‘‘section 7(f)’’. enrollment, or training requirements; and the end the following: (k) Section 22(b)(10)(B)(i) of the Food and (B) fair and equitable treatment of recipi- ‘‘SEC. 29. RETAIL FOOD STORE AND RECIPIENT Nutrition Act of 2008 (7 U.S.C. ents and provision of supplemental nutrition TRAFFICKING. 2031(b)(10)(B)(i)) is amended in the last sen- assistance benefits to all low-income house- ‘‘(a) PURPOSE.—The purpose of this section tence by striking ‘‘Food benefits’’ and insert- holds in the State; and is to provide the Department of Agriculture ing ‘‘Benefits’’. (2) a description of— with additional resources to prevent traf- (l) Section 26(f)(3)(C) of the Food and Nu- (A) benefits provided based on the aggre- ficking in violation of this Act by strength- trition Act of 2008 (7 U.S.C. 2035(f)(3)(C)) is gate grant amount; and

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00172 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.052 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4103 (B) the manner in which supplemental nu- section 4003, unless a State plan does not and Nutrition Act of 2008 (7 U.S.C. 2011 et trition assistance benefits will be provided comply with the requirements of this sec- seq.) is repealed. under the State plan, including the use of tion. (b) RELATIONSHIP TO OTHER LAW.—Any ref- State administration organizations, private SEC. 4003. GRANTS TO STATES. erence in this Act, an amendment made by contractors, or consultants. (a) IN GENERAL.—Beginning 120 days after this Act, or any other Act to the supple- (c) CERTIFICATION OF THE ADMINISTRATION the date of enactment of this Act, and annu- mental nutrition assistance program shall be OF THE PROGRAM.— ally thereafter, each State that has sub- considered to be a reference to the supple- (1) IN GENERAL.—The Governor of each mitted a plan that meets the requirements of mental nutrition assistance block grant pro- State that receives a grant under section section 4002 shall receive from the Secretary gram under this subtitle. 4003 shall issue a certification to the Sec- a grant in an amount determined under sub- retary in accordance with this subsection. section (b). SA 2393. Mr. REID proposed an (2) ADMINISTRATION.—The certification (b) AMOUNTS OF GRANTS.— amendment to amendment SA 2392 pro- shall specify which 1 or more State agencies (1) IN GENERAL.—Subject to paragraph (3), a posed by Mr. REID to the amendment will administer and supervise the State plan grant received under subsection (a) shall be SA 2391 proposed by Mr. REID to the under this section. in an amount equal to the product of— bill S. 3240, to reauthorize agricultural (3) PROVISION OF BENEFITS ONLY TO LOW-IN- (A) the amount made available under sec- COME INDIVIDUALS AND HOUSEHOLDS.— tion 4005 for the applicable fiscal year; and programs through 2017, and for other (A) IN GENERAL.—The certification shall (B) the proportion that— purposes; as follows: certify that the State will— (i) the number of individuals residing in SEC. ll. SHORT TITLE. (i) only provide supplemental nutrition as- the State whose income does not exceed 100 This subtitle may be cited as the ‘‘Stop sistance to low-income individuals and percent of the poverty line described in sec- Unfair Giveaways and Restrictions Act of households in the State; and tion 4002(c)(3)(B)(ii) applicable to a family of 2012’’ or ‘‘SUGAR Act of 2012’’. (ii) take such action as is necessary to pro- the size involved; bears to SEC. ll. SUGAR PROGRAM. hibit any household or member of a house- (ii) the number of such individuals in all (a) IN GENERAL.—Section 156 of the Federal hold that does not meet the criteria de- States that have submitted a plan under sec- Agriculture Improvement and Reform Act of scribed in subparagraph (B) from receiving tion 4002 for the applicable fiscal year, based 1996 (7 U.S.C. 7272) is amended— supplemental nutrition assistance benefits. on data for the most recent fiscal year for (1) in subsection (d), by striking paragraph (B) CRITERIA.—A household shall meet the which data is available. (1) and inserting the following: criteria described in this subparagraph if the (2) PRO RATA ADJUSTMENTS.—The Secretary ‘‘(1) LOANS.—The Secretary shall carry out household is— shall make pro rata adjustments in the this section through the use of recourse (i) a household in which each member re- amounts determined for States under para- loans.’’; ceives benefits under the supplemental secu- graph (1) for each fiscal year as necessary to (2) by redesignating subsection (i) as sub- rity income program established under title ensure that— section (j); XVI of the Social Security Act (42 U.S.C. 1381 (A) the total amount appropriated for the (3) by inserting after subsection (h) the fol- et seq.); applicable fiscal year under section 4005 is lowing: (ii) a low-income household that does not allotted among all States that submit a plan ‘‘(i) PHASED REDUCTION OF LOAN RATE.— exceed 100 percentage of the poverty line (as under section 4002; and For each of the 2012, 2013, and 2014 crops of defined in section 673(2) of the Community (B) the total amount of all supplemental sugar beets and sugarcane, the Secretary Services Block Grant Act (42 U.S.C. 9902(2), nutrition assistance grants for States deter- shall lower the loan rate for each succeeding including any revision required by such sec- mined for the fiscal year does not exceed the crop in a manner that progressively and uni- tion)) for a family of the size involved as the total amount appropriated for the fiscal formly lowers the loan rate for sugar beets State shall establish; or year. and sugarcane to $0 for the 2015 crop.’’; and (iii) a household in which each member re- (3) ADMINISTRATIVE PROVISIONS.— (4) in subsection (j) (as redesignated), by ceives benefits under a State or Federal gen- (A) QUARTERLY PAYMENTS.—The Secretary striking ‘‘2012’’ and inserting ‘‘2014’’. eral assistance program that complies with shall make each supplemental nutrition as- (b) PROSPECTIVE REPEAL.—Effective begin- income criteria standards comparable to or sistance grant payable to a State for a fiscal ning with the 2015 crop of sugar beets and more restrictive than the standards estab- year under this section in quarterly install- sugarcane, section 156 of the Federal Agri- lished under clause (ii). ments. culture Improvement and Reform Act of 1996 (4) PROVISION OF BENEFITS ONLY TO CITIZENS (B) COMPUTATION AND CERTIFICATION OF (7 U.S.C. 7272) is repealed. AND LAWFUL PERMANENT RESIDENTS OF THE PAYMENT TO STATES.— SEC. ll. ELIMINATION OF SUGAR PRICE SUP- UNITED STATES.—The certification shall cer- (i) COMPUTATION.—The Secretary shall esti- PORT AND PRODUCTION ADJUST- tify that the State will— mate the amount to be paid to each State for MENT PROGRAMS. (A) only provide supplemental nutrition each quarter under this section based on a (a) IN GENERAL.—Notwithstanding any assistance to citizens and lawful permanent report filed by the State that shall include— other provision of law— residents of the United States; and (I) an estimate by the State of the total (1) a processor of any of the 2015 or subse- (B) take such action as is necessary to pro- amount to be expended by the State during quent crops of sugarcane or sugar beets shall hibit supplemental nutrition assistance ben- the applicable quarter under the State pro- not be eligible for a loan under any provision efits from being provided to any individual gram funded under this subtitle; and of law with respect to the crop; and or household a member of which is not a cit- (II) such other information as the Sec- (2) the Secretary may not make price sup- izen or lawful permanent resident of the retary may require. port available, whether in the form of a loan, United States. (ii) CERTIFICATION.—The Secretary shall payment, purchase, or other operation, for (5) CERTIFICATION OF STANDARDS AND PROCE- certify to the Secretary of the Treasury the any of the 2015 and subsequent crops of sugar DURES TO ENSURE AGAINST PROGRAM FRAUD, amount estimated under clause (i) with re- beets and sugarcane by using the funds of the WASTE AND ABUSE.—The certification shall spect to each State, adjusted to the extent of Commodity Credit Corporation or other certify that the State— any overpayment or underpayment— funds available to the Secretary. (A) has established and will continue to en- (I) that the Secretary determines was (b) TERMINATION OF MARKETING QUOTAS force standards and procedures to ensure made under this subtitle to the State for any AND ALLOTMENTS.— against program fraud, waste, and abuse, in- prior quarter; and (1) IN GENERAL.—Part VII of subtitle B of cluding standards and procedures concerning (II) with respect to which adjustment has title III of the Agricultural Adjustment Act nepotism, conflicts of interest among indi- not been made under this paragraph. of 1938 (7 U.S.C. 1359aa et seq.) is repealed. viduals responsible for the administration SEC. 4004. USE OF GRANTS. (2) CONFORMING AMENDMENT.—Section and supervision of the State program, kick- (a) IN GENERAL.—Subject to subsection (b), 344(f)(2) of the Agricultural Adjustment Act backs, and the use of political patronage; a State that receives a grant under section of 1938 (7 U.S.C. 1344(f)(2)) is amended by and 4003 may use the grant in any manner that is striking ‘‘sugar cane for sugar, sugar beets (B) will prohibit from further receipt of reasonably demonstrated to accomplish the for sugar,’’. benefits under the program any recipient purposes of this subtitle. (c) GENERAL POWERS.— who attempts to receive benefits fraudu- (b) LIMITATION ON USE OF GRANT FOR AD- (1) SECTION 32 ACTIVITIES.—Section 32 of the lently. MINISTRATIVE PURPOSES.—A State may not Act of August 24, 1935 (7 U.S.C. 612c), is (6) LIMITATION ON SECRETARIAL AUTHOR- use more than 3 percent of the amount of a amended in the second sentence of the first ITY.—The Secretary— grant received for a fiscal year under section paragraph— (A) may only review a State plan sub- 4003 for administrative purposes. (A) in paragraph (1), by inserting ‘‘(other mitted under this section for the purpose of SEC. 4005. AUTHORIZATION OF APPROPRIATIONS. than sugar beets and sugarcane)’’ after confirming that a State has submitted the There is authorized to be appropriated to ‘‘commodities’’; and required documentation; and carry out this subtitle $45,000,000,000 for fis- (B) in paragraph (3), by inserting ‘‘(other (B) shall not have the authority to approve cal year 2013 and each fiscal year thereafter. than sugar beets and sugarcane)’’ after or deny a State plan submitted under this SEC. 4006. REPEAL. ‘‘commodity’’. section or to otherwise inhibit or control the (a) IN GENERAL.—Effective 120 days after (2) POWERS OF COMMODITY CREDIT CORPORA- expenditure of grants paid to a State under the date of enactment of this Act, the Food TION.—Section 5(a) of the Commodity Credit

VerDate Mar 15 2010 04:11 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00173 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.054 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4104 CONGRESSIONAL RECORD — SENATE June 12, 2012 Corporation Charter Act (15 U.S.C. 714c(a)) is intended to be proposed by him to the ‘‘(1) the progress of the initiative imple- amended by inserting ‘‘, sugar beets, and bill S. 3240, to reauthorize agricultural mented under subsection (b); and sugarcane’’ after ‘‘tobacco’’. programs through 2017, and for other ‘‘(2) recommendations for any regulatory (3) PRICE SUPPORT FOR NONBASIC AGRICUL- purposes; which was ordered to lie on or legislative changes that would be appro- TURAL COMMODITIES.—Section 201(a) of the priate to improve services to substantially Agricultural Act of 1949 (7 U.S.C. 1446(a)) is the table; as follows: underserved trust areas. amended by striking ‘‘milk, sugar beets, and At the appropriate place, insert the fol- ‘‘SEC. 3916. REGULATIONS. lowing: sugarcane’’ and inserting ‘‘, and milk’’. On page 752, strike lines 17 through 21 and (4) COMMODITY CREDIT CORPORATION STOR- SEC. lll. CAPPING AND REDUCING THE BAL- ANCE SHEET OF THE FEDERAL RE- insert the following: AGE PAYMENTS.—Section 167 of the Federal (c) Section 306F of the Rural Electrifica- Agriculture Improvement and Reform Act of SERVE SYSTEM. (a) IN GENERAL.—Notwithstanding any tion Act of 1936 (7 U.S.C. 936f) is repealed. 1996 (7 U.S.C. 7287) is repealed. other provision of law, no action may be (5) SUSPENSION AND REPEAL OF PERMANENT taken by the Board of Governors of the Fed- SA 2396. Mr. AKAKA submitted an PRICE SUPPORT AUTHORITY.—Section 171(a)(1) eral Reserve System or the Federal Open amendment intended to be proposed by of the Federal Agriculture Improvement and Market Committee on or after the date of Reform Act of 1996 (7 U.S.C. 7301(a)(1)) is him to the bill S. 3240, to reauthorize enactment of this Act that would result in amended— agricultural programs through 2017, the total of the factors affecting reserve bal- (A) by striking subparagraph (E); and and for other purposes; which was or- ances of depository institutions exceeding dered to lie on the table; as follows: (B) by redesignating subparagraphs (F) the balance as of June 8, 2012. through (I) as subparagraphs (E) through (H), (b) SENSE OF CONGRESS.—It is the sense of On page 1009, after line 11, add the fol- respectively. Congress that the Federal Reserve System lowing: (6) STORAGE FACILITY LOANS.—Section should expeditiously take substantial steps SEC. 12207. OFFICE OF TRIBAL RELATIONS. 1402(c) of the Farm Security and Rural In- to reduce the size of its balance sheet to lev- (a) IN GENERAL.—Title III of the Depart- vestment Act of 2002 (7 U.S.C. 7971) is re- els below those that prevailed prior to the fi- ment of Agriculture Reorganization Act of pealed. nancial crisis of 2008. 1994 is amended by adding after section 308 (7 (7) FEEDSTOCK FLEXIBILITY PROGRAM FOR U.S.C. 3125a note; Public Law 103–354) the fol- BIOENERGY PRODUCERS.—Effective beginning SA 2395. Mr. AKAKA submitted an lowing: with the 2013 crop of sugar beets and sugar- amendment intended to be proposed by ‘‘SEC. 309. OFFICE OF TRIBAL RELATIONS. cane, section 9010 of the Farm Security and him to the bill S. 3240, to reauthorize ‘‘The Secretary shall establish in the Of- Rural Investment Act of 2002 (7 U.S.C. 8110) agricultural programs through 2017, fice of the Secretary an Office of Tribal Rela- is repealed. and for other purposes; which was or- tions.’’. (d) TRANSITION PROVISIONS.—This section (b) CONFORMING AMENDMENTS.—Section and the amendments made by this section dered to lie on the table; as follows: 296(b) of the Department of Agriculture Re- shall not affect the liability of any person On page 751, strike line 23 and insert the organization Act of 1994 (7 U.S.C. 7014(b)) (as under any provision of law as in effect before following: amended by section 12201(b)) is amended— the application of this section and the ‘‘SEC. 3915. SUBSTANTIALLY UNDERSERVED (1) in paragraph (8), by striking ‘‘or’’ at the amendments made by this section. TRUST AREAS. end; SEC. ll. TARIFF-RATE QUOTAS. ‘‘(a) DEFINITIONS.—In this section: ‘‘(1) ELIGIBLE PROGRAM.—The term ‘eligible (2) in paragraph (9), by striking the period (a) ESTABLISHMENT.—Except as provided in program’ means a program administered by at the end and inserting ‘‘; or’’; and subsection (c) and notwithstanding any (3) by adding at the end the following: other provision of law, not later than Octo- the Secretary and authorized in— ‘‘(A) this Act; ‘‘(10) the authority of the Secretary to es- ber 1, 2012, the Secretary shall develop and tablish in the Office of the Secretary the Of- implement a program to increase the tariff- ‘‘(B) the Rural Electrification Act of 1936 (7 U.S.C. 901 et seq.); or fice of Tribal Relations in accordance with rate quotas for raw cane sugar and refined section 309.’’. sugars for a quota year in a manner that en- ‘‘(C) title V of the Housing Act of 1949 (42 sures— U.S.C. 1471 et seq.). ‘‘(2) SUBSTANTIALLY UNDERSERVED TRUST SA 2397. Mr. AKAKA submitted an (1) a robust and competitive sugar proc- amendment intended to be proposed by essing industry in the United States; and AREA.—The term ‘substantially underserved (2) an adequate supply of sugar at reason- trust area’ means a community in ‘trust him to the bill S. 3240, to reauthorize able prices in the United States. land’ (as defined in section 3765 of title 38, agricultural programs through 2017, (b) FACTORS.—In determining the tariff- United States Code). and for other purposes; which was or- rate quotas necessary to satisfy the require- ‘‘(b) INITIATIVE.—The Secretary, in con- dered to lie on the table; as follows: sultation with local governments and Fed- ments of subsection (a), the Secretary shall eral agencies, may implement an initiative On page 1009, after line 11, add the fol- consider the following: to identify and improve the availability of lowing: (1) The quantity and quality of sugar that eligible programs in communities in sub- SEC. 12207. APPROVAL OF, AND PROVISIONS RE- will be subject to human consumption in the stantially underserved trust areas. LATING TO, TRIBAL LEASES. United States during the quota year. ‘‘(c) AUTHORITY OF SECRETARY.—In car- (a) DEFINITIONS.—Subsection (d) of the first (2) The quantity and quality of sugar that rying out subsection (b), the Secretary— section of the Act of August 9, 1955 (25 U.S.C. will be available from domestic processing of ‘‘(1) may make available from loan or loan 415(d)) (commonly known as the ‘‘Long-Term sugarcane, sugar beets, and in-process beet guarantee programs administered by the Leasing Act’’), is amended— sugar. Secretary to qualified entities or applicants (1) in paragraph (4), by striking ‘‘the Nav- (3) The quantity of sugar that would pro- financing with an interest rate as low as 2 ajo Nation’’ and inserting ‘‘an applicable In- vide for reasonable carryover stocks. percent and with extended repayment terms; dian tribe’’; (4) The quantity of sugar that will be avail- ‘‘(2) may waive nonduplication restric- (2) in paragraph (6), by striking ‘‘the Nav- able from carryover stocks for human con- tions, matching fund requirements, or credit ajo Nation’’ and inserting ‘‘an Indian tribe’’; sumption in the United States during the support requirements from any loan or grant (3) in paragraph (7), by striking ‘‘and’’ quota year. program administered by the Secretary to after the semicolon at the end; (5) Consistency with the obligations of the facilitate the construction, acquisition, or (4) in paragraph (8)— United States under international agree- improvement of infrastructure, or for other (A) by striking ‘‘the Navajo Nation’’; ments. purposes; (B) by striking ‘‘with Navajo Nation law’’ XEMPTION.—Subsection (a) shall not (c) E ‘‘(3) may give the highest funding priority and inserting ‘‘with applicable tribal law’’; include specialty sugar. to designated projects in substantially un- and (d) DEFINITIONS.—In this section, the terms derserved trust areas; and (C) by striking the period at the end and ‘‘quota year’’ and ‘‘human consumption’’ ‘‘(4) shall only make loans or loan guaran- inserting ‘‘; and’’; and have the meaning such terms had under sec- tees that are found to be financially feasible (5) by adding at the end the following: tion 359k of the Agricultural Adjustment Act and that provide eligible program benefits to ‘‘(9) the term ‘Indian tribe’ has the mean- of 1938 (7 U.S.C. 1359kk) (as in effect on the substantially underserved trust areas. ing given the term in section 102 of the Fed- day before the date of the enactment of this ‘‘(d) ELIGIBILITY OF TRUST LAND FOR ELIGI- erally Recognized Indian Tribe List Act of Act). BLE PROGRAMS.—Notwithstanding any other 1994 (25 U.S.C. 479a).’’. SEC. ll. APPLICATION. provision of law, for purposes of eligibility (b) TRIBAL APPROVAL OF LEASES.—The first Except as otherwise provided in this sub- for eligible programs, trust land (as defined section of the Act of August 9, 1955 (25 U.S.C. title, this subtitle and the amendments made in section 3765 of title 38, United States 415) (commonly known as the ‘‘Long-Term by this subtitle shall apply beginning with Code) shall be considered by the Secretary to Leasing Act’’), is amended by adding at the the 2012 crop of sugar beets and sugarcane. be a rural area. end the following: ‘‘(e) REPORT.—Each year, the Secretary ‘‘(h) TRIBAL APPROVAL OF LEASES.— SA 2394. Mr. DEMINT (for himself shall submit to Congress a report that de- ‘‘(1) IN GENERAL.—Subject to paragraph (2) and Mr. LEE) submitted an amendment scribes— and at the discretion of any Indian tribe, any

VerDate Mar 15 2010 05:29 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00174 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.054 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4105 lease by the Indian tribe for the purposes au- the trust responsibility of the United States (A) Whether and how tribal management of thorized under subsection (a), except a lease under paragraph (7). the LTRO functions has expedited the proc- for the exploration, development, or extrac- ‘‘(7) TRUST RESPONSIBILITY.— essing and issuance of Indian land title cer- tion of any mineral resources, shall not re- ‘‘(A) IN GENERAL.—The United States shall tifications as compared to the period during quire the approval of the Secretary if the not be liable for losses sustained by any which the Bureau of Indian Affairs managed lease is executed under the tribal regulations party to a lease executed pursuant to tribal the programs. approved by the Secretary under this sub- regulations under paragraph (1). (B) Whether and how tribal management of section and the term of the lease does not ex- ‘‘(B) AUTHORITY OF SECRETARY.—Pursuant the LTRO functions has increased home own- ceed— to the authority of the Secretary to fulfill ership among the population of the man- ‘‘(A) in the case of a business or agricul- the trust obligation of the United States to aging Indian tribe. tural lease, 25 years, except that any such the applicable Indian tribe under Federal law (C) What internal preparations and proc- lease may include an option to renew for up (including regulations), the Secretary may, esses were required of the managing Indian to 2 additional terms, each of which may not upon reasonable notice from the applicable tribes prior to assuming management of the exceed 25 years; and Indian tribe and at the discretion of the Sec- LTRO functions. ‘‘(B) in the case of a lease for public, reli- retary, enforce the provisions of, or cancel, (D) Whether tribal management of the gious, educational, recreational, or residen- any lease executed by the Indian tribe under LTRO functions resulted in a transfer of fi- tial purposes, 75 years, if such a term is pro- paragraph (1). nancial resources and manpower from the vided for by the regulations issued by the In- ‘‘(8) COMPLIANCE.— Bureau of Indian Affairs to the managing In- dian tribe. ‘‘(A) IN GENERAL.—An interested party, dian tribes and, if so, what transfers were un- ‘‘(2) ALLOTTED LAND.—Paragraph (1) shall after exhausting of any applicable tribal dertaken. not apply to any lease of land (including an remedies, may submit a petition to the Sec- (E) Whether, in appropriate circumstances interest in land) held in trust for an indi- retary, at such time and in such form as the and with the approval of geographically vidual Indian. Secretary determines to be appropriate, to proximate Indian tribes, the LTRO functions ‘‘(3) AUTHORITY OF SECRETARY OVER TRIBAL review the compliance of the applicable In- may be performed by a single Indian tribe or REGULATIONS.— dian tribe with any tribal regulations ap- a tribal consortium in a cost effective man- ‘‘(A) IN GENERAL.—The Secretary shall proved by the Secretary under this sub- ner. have the authority to approve or disapprove section. SEC. 12208. MODIFICATION OF DEFINITION. any tribal regulations issued in accordance ‘‘(B) VIOLATIONS.—If, after carrying out a (a) MODIFICATION.— with paragraph (1). review under subparagraph (A), the Sec- (1) IN GENERAL.—The first sentence of sec- ‘‘(B) CONSIDERATIONS FOR APPROVAL.—The retary determines that the tribal regulations tion 19 of the Act of June 18, 1934 (commonly Secretary shall approve any tribal regula- were violated, the Secretary may take any known as the ‘‘Indian Reorganization Act’’) tion issued in accordance with paragraph (1), action the Secretary determines to be nec- (25 U.S.C. 479), is amended— if the tribal regulations— essary to remedy the violation, including re- (A) by striking ‘‘The term’’ and inserting ‘‘(i) are consistent with any regulations scinding the approval of the tribal regula- ‘‘Effective beginning on June 18, 1934, the issued by the Secretary under subsection (a); tions and reassuming responsibility for the term’’; and and approval of leases of tribal trust lands. (B) by striking ‘‘any recognized Indian ‘‘(ii) provide for an environmental review ‘‘(C) DOCUMENTATION.—If the Secretary de- tribe now under Federal jurisdiction’’ and in- process that includes— termines that a violation of the tribal regu- serting ‘‘any federally recognized Indian ‘‘(I) the identification and evaluation of lations has occurred and a remedy is nec- tribe’’. any significant effects of the proposed action essary, the Secretary shall— (2) EFFECTIVE DATE.—The amendments on the environment; and ‘‘(i) make a written determination with re- made by paragraph (1) shall take effect as if ‘‘(II) a process for ensuring that— spect to the regulations that have been vio- included in the Act of June 18, 1934 (com- ‘‘(aa) the public is informed of, and has a lated; monly known as the ‘‘Indian Reorganization reasonable opportunity to comment on, any ‘‘(ii) provide the applicable Indian tribe Act’’) (25 U.S.C. 479), on the date of enact- significant environmental impacts of the with a written notice of the alleged violation ment of that Act. proposed action identified by the Indian together with such written determination; (b) RATIFICATION AND CONFIRMATION OF tribe; and PRIOR ACTIONS.—Any action taken by the ‘‘(bb) the Indian tribe provides responses to and ‘‘(iii) prior to the exercise of any remedy, Secretary of the Interior pursuant to the Act relevant and substantive public comments of June 18, 1934 (commonly known as the ‘‘In- on those impacts before the Indian tribe ap- the rescission of the approval of the regula- tion involved, or the reassumption of lease dian Reorganization Act’’) (25 U.S.C. 461 et proves the lease. seq.), for any Indian tribe that was federally ‘‘(4) REVIEW PROCESS.— approval responsibilities, provide the appli- cable Indian tribe with— recognized on the date of that action is rati- ‘‘(A) IN GENERAL.—Not later than 120 days fied and confirmed, to the extent that the ac- after the date on which the tribal regula- ‘‘(I) a hearing that is on the record; and ‘‘(II) a reasonable opportunity to cure the tion is challenged based on the question of tions described in paragraph (1) are sub- whether the Indian tribe was federally recog- alleged violation. mitted to the Secretary, the Secretary shall nized or under Federal jurisdiction on June ‘‘(9) SAVINGS CLAUSE.—Nothing in this sub- review and approve or disapprove the regula- 18, 1934, as if the action had, by prior act of section shall affect subsection (e) or any tions. Congress, been specifically authorized and tribal regulations issued under that sub- ‘‘(B) WRITTEN DOCUMENTATION.—If the Sec- directed. retary disapproves the tribal regulations de- section.’’. (c) EFFECT ON OTHER LAWS.— scribed in paragraph (1), the Secretary shall (c) LAND TITLES AND RECORDS OFFICE RE- (1) IN GENERAL.—Nothing in this section or include written documentation with the dis- PORT.— the amendments made by this section af- approval notification that describes the (1) IN GENERAL.—Not later than 180 days fects— basis for the disapproval. after the date on which funds are first made (A) the application or effect of any Federal ‘‘(C) EXTENSION.—The deadline described in available to carry out this Act, the Bureau law other than the Act of June 18, 1934 (25 subparagraph (A) may be extended by the of Indian Affairs shall prepare and submit to U.S.C. 461 et seq.) (as amended by subsection Secretary, after consultation with the Indian the Committees on Financial Services and (a)); or tribe. Natural Resources of the House of Rep- (B) any limitation on the authority of the ‘‘(5) FEDERAL ENVIRONMENTAL REVIEW.— resentatives and the Committees on Bank- Secretary of the Interior under any Federal Notwithstanding paragraphs (3) and (4), if an ing, Housing, and Urban Affairs and Indian law or regulation other than the Act of June Indian tribe carries out a project or activity Affairs of the Senate a report regarding the 18, 1934 (25 U.S.C. 461 et seq.) (as so amended). funded by a Federal agency, the Indian tribe history and experience of Indian tribes that (2) REFERENCES IN OTHER LAWS.—An express shall have the authority to rely on the envi- have chosen to assume responsibility for op- reference to the Act of June 18, 1934 (25 ronmental review process of the applicable erating the Land Titles and Records Office U.S.C. 461 et seq.), contained in any other Federal agency rather than any tribal envi- (referred to in this subsection as the Federal law shall be considered to be a ref- ronmental review process under this sub- ‘‘LTRO’’) functions from the Bureau of In- erence to that Act as amended by subsection section. dian Affairs. (a). ‘‘(6) DOCUMENTATION.—If an Indian tribe (2) CONSULTATION.—In conducting the re- (d) STUDY; PUBLICATION.— executes a lease pursuant to tribal regula- view under paragraph (1), the Bureau of In- (1) STUDY.—The Secretary of the Interior tions under paragraph (1), the Indian tribe dian Affairs shall consult with the Depart- shall conduct, and submit to Congress a re- shall provide the Secretary with— ment of Housing and Urban Development Of- port describing the results of, a study that— ‘‘(A) a copy of the lease, including any fice of Native American Programs and the (A) assesses the effects of the decision of amendments or renewals to the lease; and Indian tribes that are managing LTRO func- the Supreme Court in Docket No. 07–526 (129 ‘‘(B) in the case of tribal regulations or a tions (referred to in this subsection as the S. Ct. 1058) on Indian tribes and tribal land; lease that allows for lease payments to be ‘‘managing Indian tribes’’). and made directly to the Indian tribe, docu- (3) CONTENTS.—The review under paragraph (B) includes a list of each Indian tribe and mentation of the lease payments that is suf- (1) shall include an analysis of the following parcel of tribal land affected by that deci- ficient to enable the Secretary to discharge factors: sion.

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(2) PUBLICATION.—On completion of the re- ‘‘(A) ELIGIBLE ALIEN.—In this paragraph, (1) by redesignating subsections (h) and (i) port under paragraph (1) and by not later the term ‘eligible alien’ means an alien as subsections (i) and (j), respectively; and than 1 year after the date of enactment of who— (2) by inserting after subsection (g) the fol- this Act, the Secretary of the Interior shall ‘‘(i) has H–2A worker status based on em- lowing: publish the list described in paragraph ployment as a dairy worker, sheepherder, or ‘‘(h) SPECIAL RULES FOR ALIENS EMPLOYED (1)(B)— goat herder; AS DAIRY WORKERS, SHEEPHERDERS, OR GOAT (A) in the Federal Register; and ‘‘(ii) has maintained such status in the HERDERS.— (B) on the public website of the Depart- United States for a not fewer than 33 of the ‘‘(1) IN GENERAL.—Notwithstanding any ment of the Interior. preceding 36 months; and other provision of this Act, an alien admit- ‘‘(iii) is seeking to receive an immigrant ted as a nonimmigrant under section SA 2398. Mr. AKAKA submitted an visa under section 203(b)(3)(A)(iii). 101(a)(15)(H)(ii)(a) for employment as a dairy amendment intended to be proposed by ‘‘(B) CLASSIFICATION PETITION.—A petition worker, sheepherder, or goat herder— him to the bill S. 3240, to reauthorize under section 204 for classification of an eli- ‘‘(A) may be admitted for an initial period agricultural programs through 2017, gible alien under section 203(b)(3)(A)(iii) may of 3 years; and and for other purposes; which was or- be filed by— ‘‘(B) subject to paragraph (3)(E), may have dered to lie on the table; as follows: ‘‘(i) the alien’s employer on behalf of the such initial period of admission extended for eligible alien; or an additional period of up to 3 years. On page 515, strike lines 17 through 20 and ‘‘(ii) the eligible alien. ‘‘(2) EXEMPTION FROM TEMPORARY OR SEA- insert the following: ‘‘(C) NO LABOR CERTIFICATION REQUIRED.— SONAL REQUIREMENT.—Not withstanding sec- 488) is amended— Notwithstanding section 203(b)(3)(C), no de- tion 101(a)(15)(H)(ii)(a), an employer filing a (1) in subsection (a), in the first sentence— termination under section 212(a)(5)(A) is re- petition to employ H–2A workers in positions (A) by striking ‘‘loans from’’ and all that quired with respect to an immigrant visa as dairy workers, sheepherders, or goat herd- follows through ‘‘1929)’’ and inserting ‘‘direct under section 203(b)(3)(A)(iii) for an eligible ers shall not be required to show that such loans in a manner consistent with direct alien. positions are of a seasonal or temporary na- loans authorized under section 302 of the ‘‘(D) EFFECT OF PETITION.—The filing of a ture. Consolidated Farm and Rural Development petition described in subparagraph (B) or an ‘‘(3) ADJUSTMENT TO LAWFUL PERMANENT Act (7 U.S.C. 1922)’’; and application for adjustment of status based on RESIDENT STATUS.— (B) by inserting ‘‘, a member of an Indian a petition described in subparagraph (B) ‘‘(A) ELIGIBLE ALIEN.—In this paragraph, tribe recognized by the Secretary of the Inte- shall not be a basis fo denying— the term ‘eligible alien’ means an alien rior,’’ before ‘‘or tribal corporation’’; and ‘‘(i) another petition to employ H–2A work- who— (2) in subsection (b)(1), by striking ‘‘pursu- ers; ‘‘(i) has H–2A worker status based on em- ant to section 205(c) of the Indian Land Con- ‘‘(ii) an extension of nonimmigrant status ployment as a dairy worker, sheepherder, or solidation Act (25 U.S.C. 2204(c))’’. for a H–2A worker; goat herder; ‘‘(ii) has maintained such status in the SA 2399. Mr. LEAHY submitted an ‘‘(iii) admission of an alien as an H–2A worker; United States for a not fewer than 33 of the amendment intended to be proposed by ‘‘(iv) a request for a visa for an H–2A work- preceding 36 months; and him to the bill S. 3240, to reauthorize er; ‘‘(iii) is seeking to receive an immigrant agricultural programs through 2017, ‘‘(v) a request from an alien to modify the visa under section 203(b)(3)(A)(iii). and for other purposes; which was or- alien’s immigration status to or from status ‘‘(B) CLASSIFICATION PETITION.—A petition dered to lie on the table; as follows: as an H–2A worker; or under section 204 for classification of an eli- On page 1009, after line 11, add the fol- ‘‘(vi) a request made for an H–2A worker to gible alien under section 203(b)(3)(A)(iii) may lowing: extend such worker’s stay in the United be filed by— SEC. 12207. NONIMMIGRANT DAIRY WORKERS, States. ‘‘(i) the alien’s employer on behalf of the SHEEPHERDERS, AND GOAT HERD- ‘‘(E) EXTENSION OF STAY.—The Secretary of eligible alien; or ERS. Homeland Security shall extend the stay of ‘‘(ii) the eligible alien. (a) SHORT TITLE.—This section may be an eligible alien having a pending or ap- ‘‘(C) NO LABOR CERTIFICATION REQUIRED.— cited as the ‘‘H–2A Improvement Act’’. proved petition described in subparagraph Notwithstanding section 203(b)(3)(C), no de- (b) NONIMMIGRANT STATUS FOR DAIRY (B) in 1-year increments until a final deter- termination under section 212(a)(5)(A) is re- WORKERS, SHEEPHERDERS, AND GOAT HERD- mination is made on the alien’s eligibility quired with respect to an immigrant visa ERS.—Section 101(a)(15)(H)(ii)(a) of the Immi- for adjustment of status to that of an alien under section 203(b)(3)(A)(iii) for an eligible gration and Nationality Act (8 U.S.C. lawfully admitted for permanent residence. alien. 1101(a)(15)(H)(ii)(a)) is amended by inserting ‘‘(F) CONSTRUCTION.—Nothing in this para- ‘‘(D) EFFECT OF PETITION.—The filing of a ‘‘who is coming temporarily to the United graph may be construed to prevent an eligi- petition described in subparagraph (B) or an States to perform agricultural labor or serv- ble alien from seeking adjustment of status application for adjustment of status based on ices as a dairy worker, sheepherder, or goat in accordance with any other provision of a petition described in subparagraph (B) herder, or’’ after ‘‘abandoning’’. law.’’. shall not be a basis fo denying— (c) SPECIAL RULES FOR ALIENS EMPLOYED ‘‘(i) another petition to employ H–2A work- AS DAIRY WORKERS, SHEEPHERDERS, OR GOAT SA 2400. Mr. LEAHY submitted an ers; HERDERS.—Section 218 of the Immigration and Nationality Act (8 U.S.C. 1188) is amend- amendment intended to be proposed to ‘‘(ii) an extension of nonimmigrant status ed— amendment SA 2343 submitted by Mr. for a H–2A worker; (1) by redesignating subsections (h) and (i) CHAMBLISS (for himself and Mr. ISAK- ‘‘(iii) admission of an alien as an H–2A as subsections (i) and (j), respectively; and SON) and intended to be proposed to the worker; (2) by inserting after subsection (g) the fol- bill S. 3240, to reauthorize agricultural ‘‘(iv) a request for a visa for an H–2A work- lowing: programs through 2017, and for other er; ‘‘(h) SPECIAL RULES FOR ALIENS EMPLOYED ‘‘(v) a request from an alien to modify the purposes; which was ordered to lie on alien’s immigration status to or from status AS DAIRY WORKERS, SHEEPHERDERS, OR GOAT the table; as follows: HERDERS.— as an H–2A worker; or In lieu of the matter proposed to be in- ‘‘(1) IN GENERAL.—Notwithstanding any ‘‘(vi) a request made for an H–2A worker to serted, add the following: other provision of this Act, an alien admit- extend such worker’s stay in the United ted as a nonimmigrant under section SEC. 12207. NONIMMIGRANT DAIRY WORKERS, States. SHEEPHERDERS, AND GOAT HERD- 101(a)(15)(H)(ii)(a) for employment as a dairy ‘‘(E) EXTENSION OF STAY.—The Secretary of ERS. Homeland Security shall extend the stay of worker, sheepherder, or goat herder— (a) SHORT TITLE.—This section may be ‘‘(A) may be admitted for an initial period an eligible alien having a pending or ap- cited as the ‘‘H–2A Improvement Act’’. proved petition described in subparagraph of 3 years; and (b) NONIMMIGRANT STATUS FOR DAIRY (B) in 1-year increments until a final deter- ‘‘(B) subject to paragraph (3)(E), may have WORKERS, SHEEPHERDERS, AND GOAT HERD- mination is made on the alien’s eligibility such initial period of admission extended for ERS.—Section 101(a)(15)(H)(ii)(a) of the Immi- for adjustment of status to that of an alien an additional period of up to 3 years. gration and Nationality Act (8 U.S.C. lawfully admitted for permanent residence. ‘‘(2) EXEMPTION FROM TEMPORARY OR SEA- 1101(a)(15)(H)(ii)(a)) is amended by inserting ‘‘(F) CONSTRUCTION.—Nothing in this para- SONAL REQUIREMENT.—Not withstanding sec- ‘‘who is coming temporarily to the United graph may be construed to prevent an eligi- tion 101(a)(15)(H)(ii)(a), an employer filing a States to perform agricultural labor or serv- ble alien from seeking adjustment of status petition to employ H–2A workers in positions ices as a dairy worker, sheepherder, or goat as dairy workers, sheepherders, or goat herd- herder, or’’ after ‘‘abandoning’’. in accordance with any other provision of ers shall not be required to show that such (c) SPECIAL RULES FOR ALIENS EMPLOYED law.’’. positions are of a seasonal or temporary na- AS DAIRY WORKERS, SHEEPHERDERS, OR GOAT ture. HERDERS.—Section 218 of the Immigration SA 2401. Mr. UDALL of Colorado sub- ‘‘(3) ADJUSTMENT TO LAWFUL PERMANENT and Nationality Act (8 U.S.C. 1188) is amend- mitted an amendment intended to be RESIDENT STATUS.— ed— proposed by him to the bill S. 3240, to

VerDate Mar 15 2010 05:29 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00176 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.055 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE June 12, 2012 CONGRESSIONAL RECORD — SENATE S4107 reauthorize agricultural programs (3) by inserting after subsection (g) the fol- The PRESIDING OFFICER. Without through 2017, and for other purposes; lowing: objection, it is so ordered. ‘‘(h) STATE GRANTS.— which was ordered to lie on the table; COMMITTEE ON HEALTH, EDUCATION, LABOR, ‘‘(1) DEFINITION OF ELIGIBLE ENTITY.—In as follows: AND PENSIONS this subsection, the term ‘eligible entity’ Ms. STABENOW. Mr. President, I ask On page 1009, after line 11, add the fol- means— lowing: ‘‘(A) an agency of a State or political sub- unanimous consent that the Com- SEC. 12207. FARM AND RANCH LAND LINK COOR- division of a State; mittee on Health, Education, Labor, DINATORS. ‘‘(B) a national, State, or regional organi- and Pensions be authorized to meet, Section 226B(e)(2) of the Department of Ag- zation of agricultural producers; and during the session of the Senate, to riculture Reorganization Act of 1994 (7 U.S.C. ‘‘(C) any other entity determined appro- conduct a hearing entitled ‘‘Equality 6934(e)(2)) is amended— priate by the Secretary. At Work: The Employment Non-Dis- (1) by redesignating subparagraph (D) as ‘‘(2) GRANTS.—The Secretary shall use not crimination Act’’ on June 12, 2012, at 10 subparagraph (E); and less than 4 percent of funds made available a.m., in room SD–106 of the Dirksen (2) by inserting after subparagraph (C) the to carry out this section for each fiscal year Senate Office Building. following: under subsection (i) to make grants to The PRESIDING OFFICER. Without ‘‘(D) FARM AND RANCH LAND LINK COORDI- States, on a competitive basis, which States objection, it is so ordered. NATOR.— shall use the grants to make grants to eligi- ‘‘(i) IN GENERAL.—The Secretary shall des- ble entities to establish and improve farm COMMITTEE ON THE JUDICIARY ignate 1 farm and ranch land link coordi- safety programs at the local level.’’; and Ms. STABENOW. Mr. President, I ask nator for each State from among the State (4) in subsection (i) (as redesignated by unanimous consent that the Com- office employees of any of the following paragraph (2))— mittee on the Judiciary be authorized agencies in that State: to meet during the session of the Sen- ‘‘(I) The Farm Service Agency. SA 2403. Mr. MORAN submitted an ate, on June 12, 2012, at 10 a.m., in ‘‘(II) The Natural Resources Conservation amendment intended to be proposed by room SD–226 of the Dirksen Senate Of- Service. him to the bill S. 3240, to reauthorize fice Building, to conduct a hearing en- ‘‘(III) The Risk Management Agency. agricultural programs through 2017, ‘‘(IV) The Rural Business-Cooperative titled ‘‘Oversight of the U.S. Depart- Service. and for other purposes; which was or- ment of Justice.’’ ‘‘(V) The Rural Utilities Service. dered to lie on the table; as follows: The PRESIDING OFFICER. Without ‘‘(ii) TRAINING.—The Small Farms and Be- On page 291, lines 20 and 21, strike ‘‘15 per- objection, it is ordered. ginning Farmers and Ranchers Group shall cent’’ and insert ‘‘20’’. SUBCOMMITTEE ON EMERGING THREATS AND coordinate the development of a training f CAPABILITIES plan so that each State coordinator receives Ms. STABENOW. Mr. President, I ask sufficient training to have a general working NOTICE OF HEARING unanimous consent that the Sub- knowledge of the programs and services COMMITTEE ON ENERGY AND NATURAL committee on Emerging Threats and available from each agency of the Depart- RESOURCES Capabilities of the Committee on ment to assist small and beginning farmers Armed Services be authorized to meet and ranchers in the transition of land from Mr. BINGAMAN. Mr. President, I retiring farmers and ranchers. would like to announce for the infor- during the session of the Senate on ‘‘(iii) DUTIES.—The coordinator shall— mation of the Senate and the public June 12, 2012, at 2:30 p.m. ‘‘(I) coordinate technical assistance at the that a hearing has been scheduled be- The PRESIDING OFFICER. Without State level to assist small and beginning fore the Committee on Energy and Nat- objection, it is ordered. farmers and ranchers, and retiring farmers ural Resources. The hearing will be f and ranchers, interested in, or in process of, held on Tuesday, June 19, 2012, at 10 the transition of land, with the goal of keep- PRIVILEGES OF THE FLOOR a.m., in room SD–366 of the Dirksen ing land in agricultural production; Mr. THUNE. Mr. President, I ask Senate Office Building. ‘‘(II) develop, in consultation with appro- unanimous consent that Justin Posey, The purpose of this hearing is to re- priate Federal, State, and local agencies and an intern in Senator PAUL’s office, be ceive testimony on the potential for in- nongovernmental organizations, and submit granted the privilege of the floor dur- a State plan for approval by the Small duced seismicity from energy tech- ing today’s session of the Senate. Farms and Beginning Farmers and Ranchers nologies, including carbon capture and Group or as directed by the Secretary to pro- The PRESIDING OFFICER. Without storage, enhanced geothermal systems, objection, it is so ordered. vide coordination to ensure adequate serv- production from gas shales, and en- ices to small and beginning farmers and Mr. BLUMENTHAL. Mr. President, I ranchers at all county and area offices hanced oil recovery. ask unanimous consent that Tejal throughout the State that support linking Because of the limited time available Shah, a fellow in Senator MARK small and beginning farmers and ranchers for the hearing, witnesses may testify UDALL’s office, be granted floor privi- with retiring farmers and ranchers, includ- by invitation only. However, those leges for the duration of the Senate’s ing, at a minimum, facilitating the transi- wishing to submit written testimony session this week on June 13 and June tion of land; for the hearing record should send it to 14, 2012. ‘‘(III) oversee implementation of the ap- the Committee on Energy and Natural The PRESIDING OFFICER. Without proved State plan; and Resources, United States Senate, 304 ‘‘(IV) work with outreach coordinators in objection, it is so ordered. the State offices of the Farm Service Agen- Dirksen Senate Office Building, Wash- f cy, the Natural Resources Conservation ington, DC 20510–6150, or by email to [email protected]. COMMENDING THE PARTICIPANTS Service, the Risk Management Agency, the IN THE 44TH INTERNATIONAL Rural Business-Cooperative Service, the For further information, please con- Rural Utilities Service, the National Insti- tact Kevin Rennert at 202–224–7826, CHEMISTRY OLYMPIAD tute of Food and Agriculture, and appro- Kelly Kryc at 202–224–0537, or Meagan Mr. BENNET. Mr. President, I ask priate nongovernmental organizations to en- Gins at 202–224–0883. unanimous consent that the Senate sure appropriate information about tech- proceed to the immediate consider- f nical assistance is available at outreach ation of S. Res. 491, submitted earlier events and activities.’’. AUTHORITY FOR COMMITTEES TO today by Senators COONS and BOOZMAN. MEET The PRESIDING OFFICER. The Mr. MORAN submitted an SA 2402. clerk will report the resolution by amendment intended to be proposed by COMMITTEE ON FINANCE title. Ms. STABENOW. Mr. President, I ask him to the bill S. 3240, to reauthorize The legislative clerk read as follows: unanimous consent that the Com- agricultural programs through 2017, A resolution (S. Res. 491) commending the and for other purposes; which was or- mittee on Finance be authorized to participants in the 44th International Chem- dered to lie on the table; as follows: meet during the session of the Senate istry Olympiad and recognizing the impor- On page 831, strike lines 20 and 21 and in- on June 12, 2012, at 10 a.m., in room tance of education in the fields of science, sert the following: SD–215 of the Dirksen Senate Office technology, engineering, and mathematics 38, United States Code).’’; Building, to conduct a hearing entitled to the future of the United States. (2) by redesignating subsection (h) as sub- ‘‘Tax Reform: Impact on U.S. Energy There being no objection, the Senate section (i); Policy.’’ proceeded to consider the resolution.

VerDate Mar 15 2010 05:29 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00177 Fmt 4624 Sfmt 0634 E:\CR\FM\A12JN6.059 S12JNPT1 jbell on DSK7SPTVN1PROD with SENATE S4108 CONGRESSIONAL RECORD — SENATE June 12, 2012 Mr. BENNET. Mr. President, I ask WORLD ELDER ABUSE (2) recognizes judges, lawyers, adult pro- unanimous consent that the resolution AWARENESS DAY tective services professionals, law enforce- ment officers, social workers, health care be agreed to, the preamble be agreed Mr. BENNET. Mr. President, I ask to, and the motions to reconsider be providers, victims’ advocates, and other pro- unanimous consent that the Senate fessionals and agencies for their efforts to laid upon the table, with no inter- proceed to the consideration of S. Res. advance awareness of elder abuse; and vening action or debate, and that any 492, submitted earlier today. (3) encourages members of the public and statements relating to the measure be The PRESIDING OFFICER. The professionals who work with older adults to printed in the RECORD. clerk will report the resolution by act as catalysts to promote awareness and The PRESIDING OFFICER. Without title. long-term prevention of elder abuse by reaching out to local adult protective serv- objection, it is so ordered. The legislative clerk read as follows: The resolution (S. Res. 491) was ices agencies and by learning to recognize, A resolution (S. Res. 492) designating June report, and respond to elder abuse. agreed to. 15, 2012, as ‘‘World Elder Abuse Awareness The preamble was agreed to. Day.’’ f The resolution, with its preamble, There being no objection, the Senate reads as follows: proceeded to consider the resolution. ORDERS FOR WEDNESDAY, JUNE S. RES. 491 Mr. BENNET. Mr. President, I ask 13, 2012 Whereas the global economy of the future unanimous consent that the resolution Mr. BENNET. Mr. President, I ask will require a workforce that is educated in be agreed to, the preamble be agreed unanimous consent that when the Sen- the fields of science, technology, engineer- to, the motions to reconsider be laid ate completes its business today, it ad- ing, and mathematics (referred to in this upon the table, with no intervening ac- journ until 9:30 a.m. on Wednesday, preamble as ‘‘STEM’’); June 13; that following the prayer and Whereas the science of chemistry is vital tion or debate, and any related state- to the improvement of human life because ments be printed in the RECORD. pledge, the Journal of proceedings be chemistry has the power to transform; The PRESIDING OFFICER. Without approved to date, the morning hour be Whereas chemistry improves human lives objection, it is so ordered. deemed expired, the time for the two by providing critical solutions to global The resolution (S. Res. 492) was leaders be reserved for their use later challenges involving safe food, water, trans- agreed to. in the day; that the majority leader be portation, and products, alternate sources of The preamble was agreed to. recognized; and that following any energy, improved health, and a healthy and The resolution, with its preamble, leader remarks the first hour be equal- sustainable environment; reads as follows: ly divided and controlled between the Whereas the International Chemistry Olympiad is an annual competition for the S. RES. 492 two leaders or their designees with the most talented secondary school chemistry Whereas at least 2,000,000 older adults are Republicans controlling the first half students in the world that seeks to stimulate maltreated each year in the United States; and the majority controlling the final interest in chemistry through creative prob- Whereas the vast majority of the abuse, half. lem solving; neglect, and exploitation of older adults in The PRESIDING OFFICER. Without Whereas the 44th International Chemistry the United States goes unidentified and un- objection, it is so ordered. Olympiad will be held at the University of reported; Maryland, College Park from July 21 Whereas only 1 in 44 cases of financial f through 30, 2012; abuse of older adults is reported; Whereas more than 70 countries and nearly Whereas at least $2,900,000,000 is taken PROGRAM 300 students will compete in the 44th Inter- from older adults each year due to financial Mr. BENNET. Mr. President, Sen- national Chemistry Olympiad in theoretical abuse and exploitation; and practical examinations covering analyt- Whereas elder abuse, neglect, and exploi- ators should expect two votes in rela- ical chemistry, biochemistry, inorganic tation have no boundaries and cross all ra- tion to the sugar and SNAP amend- chemistry, organic chemistry, physical cial, social, class, gender, and geographic ments to the farm bill tomorrow. Sen- chemistry, and spectroscopy; lines; ators will be notified when the votes Whereas the objective of the International Whereas older adults who are abused are 3 are scheduled. Chemistry Olympiad is to promote inter- times more likely to die earlier than older national relationships in STEM education adults of the same age who are not abused; f (particularly in chemistry), cooperation Whereas the percentage of individuals in among students, and the exchange of peda- the United States who are 60 years of age or ADJOURNMENT UNTIL 9:30 A.M. gogical and scientific experience in STEM older will nearly double by 2020; TOMORROW education; Whereas, although all 50 States have laws Mr. BENNET. Mr. President, if there Whereas STEM education at the secondary against elder abuse, incidents of elder abuse school level is critically important to the fu- have increased by 150 percent over the last 10 is no further business to come before ture of the United States; and years; the Senate, I ask unanimous consent Whereas the students who will compete in Whereas public awareness has the poten- that it adjourn under the previous the International Chemistry Olympiad de- tial to increase the identification and report- order. serve recognition and support for their ef- ing of elder abuse by the public, profes- There being no objection, the Senate, forts: Now, therefore, be it sionals, and victims, and can act as a cata- at 7:23 p.m., adjourned until Wednes- Resolved, That the Senate— lyst to promote issue-based education and day, June 13, 2012, at 9:30 a.m. (1) welcomes the 44th International Chem- long-term prevention; and istry Olympiad to the United States; Whereas private individuals and public f (2) recognizes the need to encourage young agencies must work to combat crime and vi- people to pursue careers in the fields of olence against older adults and vulnerable CONFIRMATION science (including chemistry), technology, adults, particularly in light of continued re- engineering, and mathematics; and ductions in funding for vital services: Now, Executive nomination confirmed by (3) commends the University of Maryland, therefore, be it the Senate June 12, 2012: College Park for hosting and the American Resolved, That the Senate— THE JUDICIARY Chemical Society for organizing the 44th (1) designates June 15, 2012 as ‘‘World Elder ANDREW DAVID HURWITZ, OF ARIZONA, TO BE UNITED International Chemistry Olympiad. Abuse Awareness Day’’; STATES CIRCUIT JUDGE FOR THE NINTH CIRCUIT.

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LEGISLATIVE BRANCH IN RECOGNITION OF RANDALL B. chain management and her leadership of the APPROPRIATIONS ACT, 2013 PARKER FOR HIS MERITORIOUS Subcommittee on Terrorism, HUMINT, Anal- CIVILIAN SERVICE AWARD NOMI- ysis, and Counterintelligence will be sorely NATION missed. SPEECH OF As a member of the House Intelligence HON. CHRIS VAN HOLLEN HON. STEVE AUSTRIA Committee, Representative MYRICK has con- OF OHIO sistently demonstrated a willingness to work OF MARYLAND IN THE HOUSE OF REPRESENTATIVES collaboratively to ensure the intelligence com- IN THE HOUSE OF REPRESENTATIVES munity has the resources it needs while simul- Tuesday, June 12, 2012 taneously securing the Constitutional rights of Friday, June 8, 2012 Mr. AUSTRIA. Mr. Speaker, I rise today in United States citizens. honor of Randall B. Parker. I am honored to The House in Committee of the Whole It has been a pleasure and an honor to House on the state of the Union had under recognize Mr. Parker for his Meritorious Civil- work with her on the House Intelligence Com- consideration the bill (H.R. 5882) making ap- ian Service Award nomination. Mr. Parker was mittee. She has dutifully served both her local propriations for the Legislative Branch for nominated for his outstanding service as Vice constituents and this Nation. the fiscal year ending September 30, 2013, and Director, 88th Air Base Wing (ABW), Aero- f for other purposes: nautical Systems Center (ASC), Air Force Ma- terial Command (AFMC), Wright-Patterson Air PERSONAL EXPLANATION Mr. VAN HOLLEN. Mr. Chair, I rise in sup- Force Base (WPAFB), Ohio from 4 March port of H.R. 5882, the FY13 Legislative 2007 to 10 March 2012. Branch Appropriations bill and to commend HON. JEFF DENHAM During his service, Mr. Parker distinguished OF CALIFORNIA Chairmen ROGERS and CRENSHAW and Rank- himself as an exceptional leader who guided IN THE HOUSE OF REPRESENTATIVES ing Members DICKS and HONDA for working to- the organization through numerous cultural gether to bring this bi-partisan legislation to Tuesday, June 12, 2012 and business challenges while executing a full the floor. range of personal management responsibil- Mr. DENHAM. Mr. Speaker on rollcall No. H.R. 5882 provides $3.3 billion for oper- ities. Over the course of his tenure, he pre- 317, I was unable to cast a vote on this ations of the House of Representatives and pared and developed personnel for career op- amendment to the Energy and Water Appro- joint operations with the U.S. Senate. The portunities, provided guidance to ensure work priations bill for fiscal year 2013 due to obliga- funding level is $34 million less than the cur- effort and products reflected management’s tions in my district. The underlying bill was a rent year and $190 million less than requested expectations, and spearheaded the ‘‘Grow the well struck balance of funding priorities. by those offices and agencies covered by the Force’’ 88th ABW Commander’s initiative, fo- California, my district included, is very de- bill. H.R. 5882 freezes funding for House oper- cused on recruiting and developing a superior, pendent on gasoline for its transportation ations at the current level, while increasing qualified workforce, while responding to ongo- needs. Without the necessary research funds, funds for the U.S. Capitol Police, for the Gov- ing budgetary and manpower reduction driven the state will not be able to develop new and ernment Accountability Office—which conducts by the office of the Secretary of Defense better ways to fuel our cars and trucks. With oversight investigations for the Federal gov- (OSD) and Headquarters Air Force (HAF) effi- nearly fifty percent of California’s oil coming ernment, and for the non-partisan Congres- ciency initiatives. from the Middle East, it is crucial that we con- sional Budget Office. Mr. Parker’s expertise and experience are tinue to research and develop our fuel re- The funding provided by this measure is truly noteworthy and will be greatly missed. sources here at home to ease our depend- needed for the smooth and efficient operation His outstanding performance culminates a ence on an unstable source that can drive up of the House of Representatives and the U.S. long and distinguished career that reflects his costs on consumers. Senate. It provides funds for phone service, commitment and service to our community Had I been present, I would have voted for computers for postage and for every other and nation. ‘‘nay.’’ resource necessary for the legislative branch Thus, with great pride, I recognize Randall f of the American government to serve the peo- B. Parker for his long-term commitment to the IN RECOGNITION OF LEADER ple of the United States. United States Air Force and I would like to ex- NANCY PELOSI’S 25 YEARS OF tend best wishes for the future. SERVICE f f HONORING HOUSE INTELLIGENCE PERSONAL EXPLANATION HON. LAURA RICHARDSON COMMITTEE REPRESENTATIVE OF CALIFORNIA SUE MYRICK OF NORTH CARO- IN THE HOUSE OF REPRESENTATIVES LINA HON. JEFF DENHAM Tuesday, June 12, 2012 OF CALIFORNIA HON. C.A. DUTCH RUPPERSBERGER Ms. RICHARDSON. Mr. Speaker, I rise today to recognize Leader NANCY PELOSI’s IN THE HOUSE OF REPRESENTATIVES OF MARYLAND outstanding achievements during her 25 years IN THE HOUSE OF REPRESENTATIVES Tuesday, June 12, 2012 of service as a Member of Congress. It has Tuesday, June 12, 2012 been a great privilege to serve alongside and Mr. DENHAM. Mr. Speaker, on rollcall No. Mr. RUPPERSBERGER. Mr. Speaker, I learn from such a strong and effective leader. 318, I was unable to cast a vote on this would like to acknowledge the work and lead- One of the proudest moments of my career amendment to the Energy and Water Appro- ership of one of my colleagues on the House was when I was sworn into the House of Rep- priations bill for fiscal year 2013 due to obliga- Intelligence Committee, Representative SUE resentatives by Ms. PELOSI. She has been a tions in my district. The underlying bill was a MYRICK of North Carolina. mentor to me, and I am continually inspired by well struck balance of funding priorities, and I Representative MYRICK has decided to retire her unwavering commitment to social and eco- feel that the funding for our National Nuclear from Congress and this may well be her last nomic justice. She skillfully balances her de- Security Administration should be maintained official vote for the Intelligence Authorization sire for bipartisanship cooperation with faithful- at appropriate levels to protect our national se- Act of FY 2013. With her retirement, we lose ness to her core beliefs, a rare talent in poli- curity. a dedicated committee member. tics today. Had I been present, I would have voted Representative MYRICK’s engagement on Speaker PELOSI made history when she was ‘‘nay.’’ matters of homegrown terrorism and supply selected as the first female Democratic Leader

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

VerDate Mar 15 2010 02:34 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00001 Fmt 0626 Sfmt 9920 E:\CR\FM\A12JN8.001 E12JNPT1 smartinez on DSK6TPTVN1PROD with REMARKS E1040 CONGRESSIONAL RECORD — Extensions of Remarks June 12, 2012 of the House of Representatives in 2002 and tinues to make improvements and pursue ex- Representatives, to introduce a resolution rec- the first female Speaker of the House in 2007. cellence. I am pleased to see that this ommending that the people of the United She demonstrated great skill and political progress has been recognized state-wide by States observe June 14th and September 17th savvy during her tenure as Speaker, trans- the Illinois Aviation Conference. I congratulate as national holidays, honoring the American forming the 111th Congress into one of the the Quad City International Airport on this Flag and the Constitution. Unfortunately, the most productive sessions in American history. much-deserved achievement and look forward Congressional Resolution was laid on the With unmatched party unity in voting, the to traveling to and from this site in the future. table and never came up again. House of Representatives passed more land- f However, presumably also at the request of mark legislation than any Congress since the Mr. Morris, Connecticut State Senator Henry Johnson administration, addressing issues as PERSONAL EXPLANATION Welch introduced an identical Resolution in diverse as food safety, nuclear arms treaties, the General Assembly, which passed the Sen- and the repeal of the discriminatory ‘‘Don’t HON. JEFF DENHAM ate on June 6, 1862, and passed the House Ask, Don’t Tell’’ policy in the military. OF CALIFORNIA on June 17, 1862, recommending that the citi- Her successful stewardship of the Patient IN THE HOUSE OF REPRESENTATIVES zens of Connecticut observe June 14th and Protection and Affordable Care Act has pro- Tuesday, June 12, 2012 September 17th as Flag Day and Constitution vided healthcare to 32 million uninsured Amer- Day, making Connecticut the first State to do icans and reformed a broken system. She Mr. DENHAM. Mr. Speaker, on rollcall No. so. backed Wall Street Reform as well as Presi- 316, I was unable to cast a vote on this Whether it was helping to lay the foundation dent Obama’s stimulus package to protect amendment to the Energy and Water Appro- for the United States Constitution, or being the working Americans from job loss and prevent priations bill for fiscal year 2013 due to obliga- home to distinguished citizens such as Mark economic collapse. Her handling of the Lilly tions in my district. The underlying bill was a Twain, Harriet Beecher Stowe, and Samuel Ledbetter Fair Pay Act and the increase of well struck balance of funding priorities. Colt, Hartford’s history has forever been inter- minimum wage have also demonstrated her California, my district included, is very de- woven with that of our great country. Given dedication to supporting pay equity in our pendent on gasoline for its transportation that the city of Hartford has played such a his- labor force. needs. Without the necessary research funds, toric role in shaping the United States, it is no I would also like to take a moment to ac- the state will not be able to develop new and surprise that the idea of Flag Day originated knowledge Ms. PELOSI’s many contributions to better ways to fuel our cars and trucks. With there. people living with HIV/AIDS. This issue has nearly fifty percent of California’s oil coming f been a top priority for Ms. PELOSI since she from the Middle East, it is crucial that we con- first took her oath of office, and her work has tinue to research and develop our fuel re- DEPARTMENT OF HOMELAND SE- led to significant advances over the past 25 sources here at home to ease our depend- CURITY APPROPRIATIONS ACT, years. By publicizing this issue, she has ence on an unstable source that can drive up 2013 helped to reduce discrimination and social costs on consumers. SPEECH OF stigmas associated with the disease. She has Had I been present, I would have voted also doubled the level of U.S. funding for glob- ‘‘nay.’’ HON. C.W. BILL YOUNG al health initiatives during her time as Speak- f OF FLORIDA er. Ms. PELOSI is responsible for U.S. leader- THE ANNIVERSARY OF FLAG DAY IN THE HOUSE OF REPRESENTATIVES ship on this issue, which has saved the lives IN HARTFORD, CONNECTICUT of millions of the world’s most vulnerable. Wednesday, June 6, 2012 Mr. Speaker, this long list of accomplish- The House in Committee of the Whole ments is a testament to Ms. PELOSI’s deter- HON. JOHN B. LARSON House on the state of the Union had under mination, and her quarter century of service OF CONNECTICUT consideration the bill (H.R. 5855) making ap- propriations for Department of Homeland has left an indelible mark on this great institu- IN THE HOUSE OF REPRESENTATIVES Security for the fiscal year ending Sep- tion. I am honored to serve under her leader- Tuesday, June 12, 2012 tember 30, 2013, and for other purposes: ship, and I look forward to her future acco- lades. Mr. LARSON of Connecticut. Mr. Speaker, I Mr. YOUNG of Florida. Mr. Chair, as we rise today to celebrate Flag Day, a national complete consideration of H.R. 5855, the De- f celebration of our country and its freedoms, partment of Homeland Security Appropriations RECOGNIZING QUAD CITY INTER- which was originally conceived in Hartford, bill which funds the United States Coast NATIONAL AIRPORT AS THE ‘‘IL- Connecticut. Guard, I rise to share with my colleagues an- LINOIS PRIMARY AIRPORT OF The concept for a ‘‘Flag Day’’, a commemo- other example of why it remains one of our THE YEAR’’ ration of the 1777 establishment of our na- most important and efficient federal agencies. tional flag, originated in Hartford shortly after Just last month, the crew of USCGC Reso- HON. ROBERT T. SCHILLING the start of the Civil War when Hartford resi- lute, based in Sector St. Petersburg, Florida OF ILLINOIS dent Jonathan Morris imagined Flag Day as which I have the privilege to represent, inter- an opportunity to promote the idea of a strong cepted shipments of cocaine in the Caribbean IN THE HOUSE OF REPRESENTATIVES union in the face of the growing conflict. He valued at $135 million. Tuesday, June 12, 2012 felt that engendering pride in our most potent The interdictions occurred during a two- Mr. SCHILLING. Mr. Speaker, I rise today to and patriotic symbol of unity might serve as a month period and were a direct result of Oper- commend the Quad City International Airport reminder of the sacrifices borne by prior Amer- ation Martillo, a U.S., European, and Western for its selection as the ‘‘Illinois Primary Airport icans to establish the country, and restore a Hemisphere effort to target illicit trafficking of the Year’’ at the Illinois Aviation Conference sense of respect for the national government routes on Central American coasts. On May held in St. Charles, Illinois, on May 23, 2012. in Washington. 31, 2012, Resolute returned to St. Petersburg Success does not come without hard work Mr. Morris related his idea to Charles Dud- after an eight-week deployment in the Western and commitment. The efforts of the employees ley Warner, editor of the Hartford Evening Caribbean in support of counter-narcotics and of the Metropolitan Airport Authority, MAA, Press, who was impressed by the idea and search and rescue operations with the 168 have helped the Quad City International Air- wrote an editorial calling for two new national bales of cocaine. port win its first ‘‘Illinois Primary Airport of the holidays, Flag Day and Constitution Day. On Sector St. Petersburg has proudly served Year’’ award since 2004, and I applaud their June 14th, 1861, with the country two months our community, the Gulf Coast and our nation dedication. into the Civil War and with troops mustering in since 1924. It is one of the Coast Guard’s The improvements to the airport’s infrastruc- downtown Hartford, residents of Connecticut largest commands, patrolling over 370 nautical ture over the past several months and years followed his lead and organized the first cele- miles of Florida’s coastline. The west coast’s due to partnerships with the Division of Aero- bration to honor our flag, and all that it stood vulnerability to smuggling unwanted goods nautics and the Federal Aviation Administra- for. and drugs makes it a critical sector and point tion have been excellent and contributed to After the success of the 1861 celebrations of interest for our nation. Coast Guard Sector the winning of this award. in Hartford, Jonathan Morris asked Congress- St. Petersburg’s chief operational duties in- I frequently use the Quad City International man Dwight Loomis, representing the First clude Search and Rescue, Maritime Homeland Airport and am excited as the airport con- District of Connecticut in the U.S. House of Security, Law Enforcement, and Waterways

VerDate Mar 15 2010 02:34 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00002 Fmt 0626 Sfmt 9920 E:\CR\FM\A12JN8.006 E12JNPT1 smartinez on DSK6TPTVN1PROD with REMARKS June 12, 2012 CONGRESSIONAL RECORD — Extensions of Remarks E1041 Management. The men and women of Reso- voted to tax themselves on two separate occa- integral to the House of Representatives as a lute and Sector St. Petersburg continue to do sions to pay for this project. Moreover, in the body and deserve each of our attention. an outstanding job of defending our coastline, absence of federal participation, the state and I have written to the House’s leadership urg- patrolling our fisheries, and providing life-sav- local governments have already completed 18 ing them to revise this body’s rules and pro- ing search and rescue operations throughout miles of levee improvements and will have vided responsible ways to ensure taxpayer the Gulf of Mexico and the Caribbean. spent upwards of $350 million on the project money is protected, while allowing fully vetted Mr. Chair, it is a great honor to be the only by the end of this year. projects to move forward. member of this House to represent four sepa- The federal government has not been able I look forward to working with you and our rate and distinct Coast Guard operations: Sec- to support this crucial flood protection project, colleagues in the House in a bipartisan man- tor St. Petersburg, Air State Clearwater, because of the current ban on earmarks and ner to address responsible reforms that will Search and Rescue Station Sand Key, and this Congress’s challenges in investing in our ensure critical public safety challenges are Port Security Unit 307. Each carries out a vital nation’s infrastructure. The result of this is that met, while ensuring taxpayer money is being mission to protect our nation and its men and construction is expected to stop this year leav- spent wisely. It is my hope we can responsibly women serve here and aboard to fulfill these ing 100,000 of my constituents at risk. resolve this issue in a timely manner. critical responsibilities. With the passage of While I realize and appreciate that the au- thorization of Army Corps of Engineers this appropriations bill tonight, we provide the f Coast Guard with the equipment and re- projects is not within the purview of the Appro- sources it needs to undertake its training and priations Committee, the topic is nonetheless PERSONAL EXPLANATION missions safely. Please join me in saying con- important to raise. The underlying problem is gratulations to the crew of USCGC Resolute, the absolute prohibition against ‘‘earmarks’’ the members of Sector St. Petersburg, and all our Majority has imposed on this body, which HON. JEFF DENHAM the Coasties who serve our great nation in is impeding our ability to our job. This morato- OF CALIFORNIA uniform for a job well done. rium has resulted in the stopping routine au- IN THE HOUSE OF REPRESENTATIVES f thorizing legislation our constituents badly Tuesday, June 12, 2012 need: a new Water Resources Development PERSONAL EXPLANATION Act bill. Working with the Corps of Engineers, Mr. DENHAM. Mr. Speaker, on rollcall No. we have accomplished every conceivable re- 345, I was unavoidably detained and was not HON. JEFF DENHAM view, documentation and approval requirement present to cast my vote due to other obliga- for this project to go forward, but Congress tions. OF CALIFORNIA has still yet to act on the legislation necessary Had I been present, I would have voted IN THE HOUSE OF REPRESENTATIVES to move forward with these badly needed ‘‘nay.’’ Tuesday, June 12, 2012 projects. Mr, DENHAM. Mr. Speaker, on rollcall No. The completed Chief’s Report for this f 315, I was unable to cast a vote on this project was sent to Congress by the Corps over a year ago yet no action has taken place. HEALTH CARE COST REDUCTION amendment to the Energy and Water Appro- ACT OF 2012 priations bill for fiscal year 2013 due to obliga- One hundred thousand people, an inter- tions in my district. The underlying bill was a national airport, hundreds of small businesses, SPEECH OF well struck balance of funding priorities. a number of schools remain at risk. It is my sincere hope our Majority will reexamine its The United States needs to have an all-of- current moratorium to ensure local needs can HON. JOHN C. CARNEY, JR. the-above energy approach that will meet the be met. Everyone can agree that we must OF DELAWARE demand of our growing country. Nuclear en- bring an end to wasteful, unjustified projects. IN THE HOUSE OF REPRESENTATIVES ergy should continue to be an aspect of our But in our effort to throw out the wasteful, energy production and we should continue to Thursday, June 7, 2012 we’ve also thrown out the very worthy, and research the capabilities and our practices people’s lives and livelihood are in jeopardy. Mr. CARNEY. Mr. Speaker, I rise today to surrounding the use of nuclear energy to en- To address the unjustified yet real prohibi- express my thoughts about the tax on medical sure that we are as efficient and safe in our tion resulting from the ‘‘earmark’’ label, I intro- devices. nuclear energy sector as possible. duced legislation last month that is in full com- The House voted on H.R. 436, the Health The United States has a proven supply of pliance with the House’s rules: H.R. 4353, the Care Cost Reduction Act of 2012. This bill resources for domestic energy use, and we ‘‘Flood Protection Public Safety Act of 2012.’’ would have repealed the 2.3 percent tax on should be pursuing policies that allow us to This bill authorizes flood protection projects medical devices that was instituted to pay for develop those resources. Nuclear energy is a that have a completed Army Corps of Engi- the Affordable Care Act. While I did not sup- renewable source with a high power genera- neers Chief’s Report that have been sent to port H.R. 436, I recognize that medical device tion potential. Congress for approval. The bill would allow a makers are at the forefront of innovation and Had I been present, I would have voted small number of flood protection projects that Federal legislation should support those ‘‘nay.’’ across the nation to move forward including efforts. I am concerned about the impact that f those in Sacramento, Topeka, Cedar Rapids, the medical device tax will have on American jobs. Particularly during these difficult eco- THE FLOOD PROTECTION PUBLIC and North Dakota. nomic times, I believe we must do everything SAFETY ACT OF 2012 Congress faces a choice. Invest in our infra- structure today, or pay the price of recovering we can to encourage, not stifle, job creation. from a disaster tomorrow. We can all agree I believe the Affordable Care Act will provide HON. DORIS O. MATSUI that preventing a disaster is a much wiser and critical health care coverage to millions of OF CALIFORNIA cheaper solution. Americans, and I also believe that paying for IN THE HOUSE OF REPRESENTATIVES Though an authorization is outside the it responsibly is important. I did not support scope of the bill pending before us, I ask that H.R. 436 because I do not believe that Ameri- Tuesday, June 12, 2012 this body forge a responsible, sensible policy cans already struggling to afford the cost of Ms. MATSUI. Mr. Speaker, Sacramento’s on so-called earmarks, a policy that continues healthcare coverage should bear the burden flood risk is well documented. It is the most at- to stop wasteful projects but allows and even of eliminating this tax. Moreover, I believe we risk metropolitan area for major flooding in our promotes worthwhile initiatives. should refrain from making significant changes nation. It is home to California’s State Capitol, For 200 years the federal government has to the funding structure of the Affordable Care an international airport, and half a million peo- been a partner with the states to provide for Act until the Supreme Court has rendered its ple. If Sacramento were to flood the economic the public’s safety. I urge my colleagues on decision on the constitutionality of the law. At damages could reach up to $40 billion dollars. the other side of the aisle to revise the current that time, the House should revisit repealing A critical component for protecting Sac- moratorium that is preventing Congress from the medical device tax with an offset that pro- ramento from a disaster is the Natomas Levee responding to urgent public safety needs tects American families while being fiscally re- Improvement Project. Local taxpayers have across the nation. I believe these matters are sponsible.

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Representative BOREN immediately IN THE HOUSE OF REPRESENTATIVES I rise today to have it noted in the CONGRES- began offering new and fresh ideas on intel- Tuesday, June 12, 2012 SIONAL RECORD that I was not able to be in ligence, including suggesting the institution of Mr. AUSTRIA. Mr. Speaker, on behalf of the Washington on June 8, 2012 for votes be- a financial reward to incentivize efforts to cap- people of Ohio’s Seventh Congressional Dis- cause of a family emergency. If I had been ture Usama bin Laden. He personally worked here, I would have voted as follows: trict, I am honored to recognize Major General to enhance the Boren Foreign Language Edward J. Mechenbier for his outstanding ca- On the Gosar Amendment that reduces the Scholarship program initially established by his reer in the United States Air Force, his leader- budget for the Botanic Garden by $1,235,000 ship to Wright-Patterson Air Force Base, and for fiscal year 2013, I would have voted ‘‘no.’’ father, Senator David L. Boren. his heroic acts for our Nation. On the Broun Amendment that reduces Representative BOREN’s assistance during A graduate from the U.S. Air Force Acad- funding for the Congressional Research Serv- the Intelligence Committee’s drafting and pas- emy in 1964, General Mechenbier attended ice by $878,000 (FY 2012 Level) and transfer sage of the Cyber Information Sharing and $878,000 to the spending reduction account, I pilot training and served tours in Europe and Protection Act was critical to our success. I al- Southeast Asia flying the F–4C. In June 1967, would have voted ‘‘no.’’ ways knew I could count on him for good he was shot down on his 80th mission over On the Scalise Amendment that reduces by North Vietnam and spent 5 years, 8 months, $1,000,000 the amount provided for the Open counsel and support. While his retirement will and 4 days as a prisoner of war. On 29 May World Leadership Center and directs that create a vacancy on the Subcommittee on of 2004, he flew his final flight, returning to $1,000,000 to the spending reduction account, Terrorism, HUMINT, Analysis, and Counter- Hanoi on the same aircraft to bring home the I would voted ‘‘aye.’’ intelligence, his service has made our com- remains of two servicemembers listed as On the Moran/Welch/Pingree Amendment mittee and country better. missing in action. that prohibits the use of Styrofoam products in In 1973, he was assigned to the Fighter food service facilities in the House of Rep- As members of the House Intelligence Com- Branch, 4950th Test Wing, Wright-Patterson resentatives, I would have voted ‘‘no.’’ mittee, Representative BOREN has consistently Air Force Base. In 1975 he resigned his reg- On the Flake Amendment that prohibits demonstrated a willingness to work collabo- ular commission and continued to fly the F– funding for the purchase of paid online adver- ratively to ensure the intelligence community 100 and A–7 for 16 years with the Ohio Na- tisements by Members, committees, and lead- has the resources it needs while simulta- tional Guard. In 1991, General Mechenbier ership offices, I would have voted ‘‘aye.’’ neously securing the constitutional rights of On the Democratic Motion to Recommit transferred to the Air Force Reserve where he United States citizens. served with the Joint Logistics Systems Center H.R. 5882 that would cut by 10 percent the of- and Headquarters Air Force Materiel Com- ficial franked mail component of the Member’s It has been a pleasure and an honor to mand. Representational Allowance, I would have work with him on the House Intelligence Com- General Mechenbier has more than four voted ‘‘aye.’’ mittee. He has dutifully served both his local decades of active-duty, Guard and Reserve On Final Passage of H.R. 5882, Legislative constituents and this nation. service. Throughout his service he has been Branch Appropriations Act, 2013, I would have awarded two Silver Stars, two Distinguished voted ‘‘no.’’ Finally, on the Republican Motion to Instruct f Flying Crosses, the Bronze star with V, two Conferees on H.R. 4348, offered by Mr. Purple Hearts, Meritorious Service Medal, 9 PERSONAL EXPLANATION BROUN of Georgia, that would instruct House Air medals and the P.O.W. medal. conferees to insist on provisions that limit Major General Mechenbier, the Air Force’s funding out of the Highway Trust Fund (includ- last serving Vietnam-era former prisoner of ing the Mass Transit Account) for Federal aid HON. JEFF DENHAM war, retired in June of 2004. He served as the highway and transit programs to amounts that OF CALIFORNIA mobilization assistant to the Commander, do not exceed $37,500,000,000 for FY 2013, Headquarters Air Force Materiel Command, IN THE HOUSE OF REPRESENTATIVES I would have voted ‘‘no.’’ Wright-Patterson Air Force Base, Ohio. His outstanding performance culminates a long f Tuesday, June 12, 2012 and distinguished career that reflects his dedi- HONORING HOUSE INTELLIGENCE Mr. DENHAM. Mr. Speaker, on rollcall No. cation and service to our community and Na- COMMITTEE REPRESENTATIVE 371, I was unable to cast a vote on the Gosar tion. DAN BOREN OF OKLAHOMA Thus, with great pride, I recognize Major amendment to the Legislative Branch Appro- General Ed Mechenbier for his commendable HON. C.A. DUTCH RUPPERSBERGER priations bill for fiscal year 2013 (H.R. 5882) service to the citizens of the United States and because I was unavoidably detained at a me- OF MARYLAND his long-term commitment to the United States morial for a fallen peace officer. IN THE HOUSE OF REPRESENTATIVES Air Force. I join the people of Ohio’s Seventh Had I been present, I would have voted Congressional District in extending my great Tuesday, June 12, 2012 ‘‘aye’’ on rollcall No. 371, to reduce funding for appreciation for his service and success in all Mr. RUPPERSBERGER. Mr. Speaker, I future endeavors. would like to acknowledge the work and lead- the U.S. Botanical Gardens by $1.235 million.

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Edward F. Watkins, Director, Office of Proliferation Committee Meetings Detection, Office of Nonproliferation Research and (Committees not listed did not meet) Development, and Rhys M. Williams, Assistant Deputy Administrator, Nonproliferation and APPROPRIATIONS: LABOR, HEALTH AND Verification Research and Development, all of the HUMAN SERVICES, AND EDUCATION, AND National Nuclear Security Administration, Depart- RELATED AGENCIES ment of Energy. Committee on Appropriations: Subcommittee on Depart- TAX REFORM ments of Labor, Health and Human Services, and Education, and Related Agencies approved for full Committee on Finance: Committee concluded a hearing committee consideration an original bill making ap- to examine tax reform, focusing on its impact on propriations for Labor, Health and Human Services, United States energy policy, after receiving testi- and Education, and Related Agencies for fiscal year mony from former Senator Don Nickles, The Nickles 2013. Group, LLC., and Philip R. Sharp, Resources for the Future (RFF), both of Washington, D.C.; Dale W. APPROPRIATIONS: FINANCIAL SERVICES Jorgenson, Harvard University, Cambridge, Massa- AND GENERAL GOVERNMENT chusetts; and Harold Hamm, Continental Resources, Committee on Appropriations: Subcommittee on Finan- Oklahoma City, Oklahoma. cial Service and General Government approved for full committee consideration an original bill making EMPLOYMENT NON–DISCRIMINATION ACT appropriations for Financial Services and General Committee on Health, Education, Labor, and Pensions: Government for fiscal year 2013. Committee concluded a hearing to examine equality at work, including S. 811, to prohibit employment DEFENSE AUTHORIZATION REQUEST AND discrimination on the basis of sexual orientation or FUTURE YEARS DEFENSE PROGRAM gender identity, after receiving testimony from M. Committee on Armed Services: Subcommittee on Emerg- V. Lee Badgett, University of Massachusetts Center ing Threats and Capabilities concluded open and for Public Policy and Administration, Amherst; closed hearings to examine proliferation prevention Kylar W. Broadus, Trans People of Color Coalition, programs at the Department of Energy and at the Columbia, Maryland; Samuel R. Bagenstos, Univer- Department of Defense in review of the Defense Au- sity of Michigan Law School, Ann Arbor; Kenneth thorization Request for fiscal year 2013 and the Fu- Charles, General Mills, Inc., Minneapolis, Minnesota; ture Years Defense Program, after receiving testi- and Craig L. Parshall, National Religious Broad- mony from Madelyn R. Creedon, Assistant Secretary casters, Manassas, Virginia. for Global Strategic Affairs, and Kenneth A. Myers III, Director, Defense Threat Reduction Agency, and DEPARTMENT OF JUSTICE OVERSIGHT Director, Strategic Command Center for Combating Committee on the Judiciary: Committee concluded an Weapons of Mass Destruction, both of the Depart- oversight hearing to examine the Department of Jus- ment of Defense; and Anne Harrington, Deputy Ad- tice, after receiving testimony from Eric H. Holder, ministrator for Defense Nuclear Nonproliferation, Jr., Attorney General, Department of Justice. h House of Representatives partment of Homeland Security, and for other pur- Chamber Action poses, with an amendment (H. Rept. 112–521) and Public Bills and Resolutions Introduced: 3 public Third Semiannual Report on Legislative and Over- bills, H.R. 5946–5948; and 1 resolution, H. Res. sight Activities of the Committee on Homeland Se- 686 were introduced. Pages H3702–03 curity (H. Rept. 112–522). Page H3702 Additional Cosponsors: Page H3703 Speaker: Read a letter from the Speaker wherein he Reports Filed: Reports were filed today as follows: appointed Representative Thornberry to act as H.R. 4251, to authorize, enhance, and reform cer- Speaker pro tempore for today. Page H3701 tain port security programs through increased effi- ciency and risk-based coordination within the De-

VerDate Mar 15 2010 04:49 Jun 13, 2012 Jkt 019060 PO 00000 Frm 00002 Fmt 0627 Sfmt 0627 E:\CR\FM\D12JN2.REC D12JNPT1 smartinez on DSK6TPTVN1PROD with DIGEST June 12, 2012 CONGRESSIONAL RECORD — DAILY DIGEST D593 Chaplain: The prayer was offered by the guest chap- budget estimates for fiscal year 2013 for the Department lain, Reverend Dr. Alan Keiran, Office of the United of the Defense, 10:30 a.m., SD–192. States Senate Chaplain. Page H3701 Committee on Banking, Housing, and Urban Affairs: to hold hearings to examine risk management, focusing on Quorum Calls—Votes: There were no Yea and Nay JPMorgan Chase and Co, 10 a.m., SD–G50. votes, and there were no Recorded votes. There were Committee on Environment and Public Works: to hold hear- no quorum calls. ings to examine the nominations of Allison M. Adjournment: The House met at 10 a.m. and ad- Macfarlane, of Maryland, and Kristine L. Svinicki, of Vir- journed at 10:05 a.m. ginia, both to be a Member of the Nuclear Regulatory Commission, 10 a.m., SD–406. Committee Meetings Committee on Foreign Relations: to hold hearings to exam- No hearings were held. ine the nominations of Richard L. Morningstar, of Massa- chusetts, to be Ambassador to the Republic of Azerbaijan, Timothy M. Broas, of Maryland, to be Ambassador to the Joint Meetings Kingdom of the Netherlands, and Jay Nicholas Anania, No joint committee meetings were held. of Maryland, to be Ambassador to the Republic of f Suriname, all of the Department of State, 2:45 p.m., SD–419. NEW PUBLIC LAWS Committee on Health, Education, Labor, and Pensions: busi- (For last listing of Public Laws, see DAILY DIGEST, p. D579) ness meeting to consider the nominations of Deborah J. H.R. 2947, to provide for the release of the rever- Jeffrey, of the District of Columbia, to be Inspector Gen- sionary interest held by the United States in certain eral, Corporation for National and Community Service, land conveyed by the United States in 1950 for the Larry V. Hedges, of Illinois, and Susanna Loeb, of Cali- establishment of an airport in Cook County, Min- fornia, both to be a Member of the Board of Directors nesota. Signed on June 8, 2012. (Public Law of the National Board for Education Sciences, and Kamilah Oni Martin-Proctor, of the District of Columbia, 112–129) and Sara A. Gelser, of Oregon, both to be a Member of H.R. 3992, to allow otherwise eligible Israeli na- the National Council on Disability, Time to be an- tionals to receive E–2 nonimmigrant visas if simi- nounced, Room to be announced. larly situated United States nationals are eligible for Committee on Veterans’ Affairs: to hold hearings to exam- similar nonimmigrant status in Israel. Signed on ine economic opportunity and transition legislation, 10 June 8, 2012. (Public Law 112–130) a.m., SR–418. H.R. 4097, to amend the John F. Kennedy Center Special Committee on Aging: to hold hearings to examine Act to authorize appropriations for the John F. Ken- empowering patients and honoring individual’s choices, nedy Center for the Performing Arts. Signed on June focusing on lessons in improving care for individuals with 8, 2012. (Public Law 112–131) advanced illness, 2 p.m., SD–562. f House COMMITTEE MEETINGS FOR WEDNESDAY, No hearings are scheduled. JUNE 13, 2012 (Committee meetings are open unless otherwise indicated) Senate Committee on Appropriations: Subcommittee on Depart- ment of Defense, to hold hearings to examine proposed

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Next Meeting of the SENATE Next Meeting of the HOUSE OF REPRESENTATIVES 9:30 a.m., Wednesday, June 13 10 a.m., Friday, June 15

Senate Chamber House Chamber Program for Wednesday: The Majority Leader will be Program for Friday: The House will meet in pro forma recognized. Senators should expect two roll call votes on session at 10 a.m. or in relation to Reid Amendment No. 2393 (to Amend- ment No. 2392), and Reid Amendment No. 2392 to S. 3240, Agriculture Reform, Food, and Jobs Act.

Extensions of Remarks, as inserted in this issue

HOUSE

Austria, Steve, Ohio, E1039, E1042 Carney, John C., Jr., Del., E1041 Denham, Jeff, Calif., E1039, E1039, E1040, E1041, E1041, E1042 Green, Gene, Tex., E1042 Larson, John B., Conn., E1040 Matsui, Doris O., Calif., E1041 Richardson, Laura, Calif., E1039 Ruppersberger, C.A. Dutch, Md., E1039, E1042 Schilling, Robert T., Ill., E1040 Van Hollen, Chris, Md., E1039 Young, C.W. Bill, Fla., E1040

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